That's against the letter of the law, rather than some vague interpretation thereof.
I know there are problems with the application of three strikes, but it's not terribly unreasonable to say that we have little cause to believe that you will reform after, say, murdering or raping your third victim and therefore little reason to let you out of prison such that you can seek new ones. And it's your third felony that puts you over, it's not like they can bust you for jaywalking, though I'm sure there are exceptional cases, which could be corrected by presidential pardons if there was good cause to believe they've repented.
But I'm sure that's an unpopular opinion here, as I doubt many people here have ever had to worry about someone in prison for murdering their mother who also threatened grandma. Now, it's great if people reform, but committing your third felony is pretty good evidence that you aren't likely to.