I was sent a "Wish Granted" email, so I logged on and accepted it.  A couple days later it said "printed" and then just sat there for days.  Today I got an e-mail that it was cancelled and then I checked my WL and I'm # 3.  Shouldn't I be #1?  Is there any way to find out why it was cancelled?

Sounds like it did the 5 day time out thing (since you said it say there for days).  You can go back to your transaction archive and mouse over the graphic for the transaction to see if it comes up with "No answer from sender after allotted time" (which, btw, you get if they never respond at all to the request and if they don't mark mailed after 5 days)

What you may want to do, since they printed your address, is go to your transaction archive and send them a PM, asking them if they did send the book, but forgot to mark it mailed. 

There's several reasons as to why you may not be #1:  2 people ahead of you took themselves off of vacation hold, 2 people ahead of you had lost books/timed out requests, or it's a bug.  You can always send Feedback in asking to make sure it wasn't some sort of a glitch.

It is also possible to be offered books in the #3 position. If the first two people had RCs that the poster turned down, they would retain their spots in front of you and you would return to #3 when the book timed out.

It is also possible to be offered books in the #3 position. If the first two people had RCs that the poster turned down, they would retain their spots in front of you and you would return to #3 when the book timed out.

that's very possible.  i know there's one book where i'm #2 on the WL.  i've been offered the book twice, and had it turned down for RCs, and i go right back to #2 on the list.  i'm assuming that the person in front of me also has non-smoking RCs.  so twice in the last week that book has been offered to #3 on the WL.