An XY-Wing is three cells with two candidates each: a pivot {X, Y} and two wings it sees, {X, Z} and {Y, Z}. Either way the pivot goes, one wing becomes Z, so a cell that sees both wings cannot be Z.
In Sudoku X the cells can see each other along a diagonal, which makes wings that do not exist in Classic.
Worked examples
2 positions from real Sudoku X puzzles on this site, the familiar case first. Step through each one: the board lights what each step talks about, and the arrows show what rules what out.
Pivot and wings
R7C3 (teal) has just two candidates: 5 and 8.
A wing linked by the diagonal
One wing shares no row, column or box with the pivot. They see each other only along the lit diagonal.
Where it fits
ExtremeXY-Wing is an Extreme technique: Extreme Sudoku X puzzles are the first to need it.
The Classic XY-Wing lesson teaches it on a plain 9×9 board. The Sudoku X overview explains the rule and the levels.
XY-Wing in the other styles: Jigsaw, Thermo, Windoku, Arrow.
Try it on an Extreme Sudoku X puzzle. Next Step points it out when it is the move.