In hitting chip, there is no actual turning and rotating of the left arm - angle hinge. When you bring the club back by bending the right arm, the club face will be open and close but there is no actual rotation from the left arm.
In the Alignment Golf DVD, Lynn and VJ Trolio demonstrate chipping with all 3 hinge actions. I believe the motion Daryti is discussing would be the "standard" chip shot. Horizontal hinging would create a lower flight with more roll, and vertical hinging would create more of a "lob" type flight.
Kevin
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I could be wrong. I have been before, and will be again.