In the light of events in the Far East, General Morshead's requests for reinforcements for the Middle East seem extravagant. The Japanese forces in New Guinea were now in position to threaten Port Moresby. General Blamey's position on the situation is interesting. He says that they need another corps of three divisions. The Ausralian Prime Minster, Mr. Curtin, made that request to Franklin Roosevelt. At the same time, Mr. Curtin approved sending the reinforcements that General Morsehead had requested. In the event, circumstances caused Mr. Curtin to change his mind.
In the Middle East, the Eighth Army Headquarters was making contingency plans for bad outcomes that were "dispiriting" to the men. They decided in early August to pull out of the Makh Khad ridge area that they had recently captured. The El Alamein Box would continue to be important fortifications. Auchinleck, at this point, was still commander, and he wanted to reduce the force needed to hold the front line. He wanted time to regroup and prepare for new attacks starting in the middle of September. The 9th Australian Division had different ideas, as they expected the enemy to create a force that might attack as soon as mid-August. You had XXX Corps, ready to hold its positions while increasing the depth of their defenses. The Australian plans were to move the 24th Brigade into the El Alamein Box. Over the course of two nights, they would swap the positions of the 20th and 26th Brigades. The 20th Brigade would occupy the area between Trig 33 and Pointy 26, being in place by August 3. They would be connected to the El Alamein Box and would add minefields to the defenses. The 9th Australian Division would defend the coast with support from the 50th RTR. On Ruweisat Ridge, they had the South African Division touching the 5th Indian Division. You had the New Zealand Division defending the right side of the XIII Corps. Part of the South Africans were in back of the 9th Australian Division.
The high level decision makers were deliberating what they should do next. The British had Mr. Churchill and Sir Alan Brooke as negotiators. The Americans had Franklin Roosevelt and the American Chiefs of Staff. The Americans made a move that would greatly help the British situation in the Middle East. They would send one hundred self-propelled guns and three hundred Sherman tanks. Churchill was to visit the Middle East and meet with Stalin in Russia. We believe that Churchill had lost confidence in Auchinleck and hoped to make a change. This is based on the account in Vol.III of the Australian Official History.
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