WindowsXP Pro, Admin Tools, Local Security Policy.

I have changed the settings in the Audit Policy, setting Audit Account Log on Events and Audit Log on Events to report 'failures' in the Security Event Viewer.

Now that I have done that, I have rather alarming failures reporting every 40 mins or so in my Security Event Viewer:

Logon account: Chaz
Source Workstation: HOME-*******
Error Code: 0xC000006A

Failure: EventID 680

Next failure message:
Logon Failure:
Reason: Unknown user name or bad password
User Name: Chaz
Domain: HOME-*******
Logon Type: 2
Logon Process: Advapi
Authentication Package: Negotiate
Workstation Name: HOME-********

The same messages then appear for the other username set up in XP.

The system is a stand-alone, connected by Broadband.

The help & support center doesnt provide any information on the first event, and reports that someone is trying to log onto my network with the wrong password in the second event.

I am logged into my account at the time of these multiple events being recorded.

Is this coming from an outside source and what does it mean ?

Can anyone enlighten me if this is a breach taking place, thanks