I believe that this rule was modified/clarified 6 or 7 years ago as someone already posted. It now reads that the hands need to be separated or something to that effect. This is one of those obscure old rules that you can use to either check the blues knowledge of the rules or get in a pitchers head.
I actually used it to get a pitcher out of her groove this past summer at 18u, as bad as that sounds. The blue didn't know the rule and approached the pitcher, but her coaches did know and came flying out of the dugout. Either way, mission accomplished. My next batter was the beneficiary of all the huba-baloo and it carried on through the line-up. Shame on me!!