The example was a little clunky, but I don't find it misleading. A biplot of two normalized variables is elliptical, if the variables are correlated. This particular hand-drawn example does indeed look a bit weird, but that doesn't detract from the main point. It clearly shows the relationship between the original data and the ordination; it's a rigid rotation.
This is easily grasped with a 2d example, despite the fact that PCA makes no sense with only two variables.
This is easily grasped with a 2d example, despite the fact that PCA makes no sense with only two variables.