Hi,
Yes, I deciphered the morse code just like you did. I got Near the overlook. Then there is one last part that has too many dots and lines to be morse. I tried getting more morse code up the fallen tree and then tried to track it back to the part of the pattern that we couldn't work out, but I did not have any luck. Perhaps the extra symbols are there to mess you up?
Look on the two pages that has the chain-link pattern in the border (there are spiders on the left and right hand side of the two pages). In the center where the two pages join, there appear to be arrows. The arrows seem to point to a color. follow the color along (eg yellow) and use that as the code. Each chain link is a separate letter I think. But, there does not seem to be a symbol that breaks the words up like the red square did in the other pattern.
There could also be dots and slashes (morse) on the mushrooms and the trees. Also, the caterppillar's body looks like it could have morse code on it. It seems really intricate and confusing though and the pattern that you found was pretty clear?? Let me know what you think.
Have you got the clue companion strategy guide to A Treasure's Trove? I have it and it seems to be really helpful. There is another thing. On the page with the wooden blocks on it. there are strange letters YKUP I think and another combination. If you look under ciphers in the book, the first cipher that they talk about is pairing letters in the alphabet with other letters in the alphabet in order to encode words. I have tried pairing the YKUP with all of the letters in the alphabet and do not come up with an obvious message. However, I am about to try to get anagrams of what I have found to see if anything makes sense. I'll let you know if I find anything.
Kathy