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A = C means a one to one movement of equality with the preceeding wave of the same direction.  In other words if a market goes down one dollar from a high point and then reatraces say 50 cents, if it then goes down one more dollar from that 50 cent retracement high, then it has made a 1-1 equal movement with the previous 1 dollar movement of the same direction.

Irrespective of whether we think something is mystical in all these numbers or not, it is human nature to measure the future according to what has happened in the past, so when we measure what is happenign and we see that it is equl with what has happened in the past we tend to think that we have reached the end of the new movement.

Many CTA's and funds trade off 1-1 ratios.  Have a look in the futures markets where the professionals "trade" as distinct from invest and look how often moves reverse once they have reached equality with a move of similar size in the same direction.

Think of it as value.  If a market goes down one dollar and then turns around it means that the players int he game previously thought that a 1 dollar movement was the end of value, so it is reasonable to assume that those players who held strong hands and turned the market last time it went down one dollar will again enter the market when it goes down/up one dollar