That's pretty close, but it's more along the lines of external EM interference and how it operates on a loop of wire. If you have a loop of wire, a changing electric field will induce a voltage and current in it. If you have two wires traveling parallel to each other, it's like a really long, flat loop. Here's where the twist comes in... If you were to take the loop and flip it backwards, the interference will be the negative of what it was before flipping it. So if you twist the wires together, you essentially have many many alternating sections of "flipped" and "not-flipped" loops, and any external EM interference will tend to automatically cancel itself out because it is adding itself to the (slightly phase offset) negative of itself. It keeps the interference down as long as the interference does not originate very close to the wires and is not too high frequency.
They use it in ethernet cables too, and coaxial cable is built the way it is for a similar reason - the cylindrical ground wire that surrounds the inner wire will automatically react to an electric field such that the electric field inside the cylinder due to outside sources is zero. That leaves the wire in the middle free to carry a high quality signal for long distances without much interference.