The arrows are rather strange and really do not belong on a graphic like that. The sinewave depicts voltage first rising from zero to positive over a period of time, then falling to zero and going below zero to negative and back to zero. It is referenced to this zero point. The current is a constant value if the machine is set that way (CC) but the power follows this curve because power in watts is the product of amperage and voltage. (P=I*E) The actual flow of electrons is from the negative to the positive. They are correct in saying that in a sinewave the arc goes out during the zero crossings, which is why continuous high frequency is required for low amperage sinewave AC welding.
I have been curious as to how these latest inverters that offer sinewave, handle that. I suspect that the sinewave is probably adjusted a little so that there is not enough time during the zero crossings for the arc to extinguish. Being able to weld AC without continuous HF was one of the great advantages of squarewave machines.
Long arc, short arc, heliarc and in-the-dark!