This problem can be solved in linear time.
Construct a list of possible left walls (position+height pairs), in order from highest to lowest. This is done by taking the leftmost possible wall and adding it to the list, then going through all possible walls, from left to right, and taking every wall that is larger than the last wall added to the list. For example, for the array
2 5 4 7 3 6 2 1 3
your possible left walls would be (pairs are (pos, val)):
(3, 7) (1, 5) (0, 2)
Construct a list of possible right walls in the same way, but going from right to left. For the above array the possible right walls would be:
(3, 7) (5, 6) (8, 3)
Start your water level as high as possible, that is the minimum of heights of the walls at the front of the two lists. Calculate the total volume of water using those walls (it might be negative or zero, but that is ok), then drop the water level by popping an element off of one of the lists such that the water level drops the least. Calculate the possible water volume at each of these heights and take the max.
Running this algorithm on these lists would look like this:
L: (3, 7) (1, 5) (0, 2) # if we pop this one then our water level drops to 5
R: (3, 7) (5, 6) (8, 3) # so we pop this one since it will only drop to 6
Height = 7
Volume = (3 - 3) * 7 = 0
Max = 0
L: (3, 7) (1, 5) (0, 2) # we pop this one now so our water level drops to 5
R: (5, 6) (8, 3) # instead of 3, like if we popped this one
Height = 6
Volume = (5 - 3) * 6 = 12
Max = 12
L: (1, 5) (0, 2)
R: (5, 6) (8, 3)
Height = 5
Volume = (5 - 1) * 5 = 20
Max = 20
L: (1, 5) (0, 2)
R: (8, 3)
Height = 3
Volume = (8 - 1) * 3 = 21
Max = 21
L: (0, 2)
R: (8, 3)
Height = 2
Volume = (8 - 0) * 2 = 16
Max = 21
Steps 1, 2, and 3 all run in linear time, so the complete solution also takes linear time.