Compare to my examples ;)
1. A square with edge weight -1 is 3 balanced (it has no 3 circuits, so no-non-positive ones). It is not 4-balanced
2. Two separate triangles, one with all edges -1 and one with all edges +1. Any $u$ on the second one is locally balanced. Any $v$ on the first one is not locally balanced, to the whole graph is not locally balanced.