diff --git a/client/src/services/context.ts b/client/src/services/context.ts
index 0872d57..932e7a5 100644
--- a/client/src/services/context.ts
+++ b/client/src/services/context.ts
@@ -5,21 +5,23 @@ import { getOriginalVariableName } from "../utils/utils";
 
 export function handleContext(context: LJContext) {
     extension.context = context;
-    updateContextForSelection(extension.currentSelection);
+    if (!extension.file || !extension.currentSelection) return;
+
+    // update variables based on new context in current selection
+    const { allVars, visibleVars } = getSelectionContextVariables(extension.file, extension.currentSelection);
+    extension.context.visibleVars = visibleVars;
+    extension.context.allVars = allVars;
     extension.webview.sendMessage({ type: "context", context: extension.context, errorAtCursor: extension.errorAtCursor });
 }
 
-export function updateContextForSelection(selection: Range) {
-    if (!selection) return;
-
-    const globalVars = extension.context.globalVars || [];
-    const localVars = extension.context.localVars || []; 
-    const variablesInScope = getVariablesInScope(localVars, extension.file, selection);
-    const visibleVarsByPosition = getVisibleVariables(variablesInScope, extension.file, selection, false);
-    const visibleVarsByAnnotationPosition = getVisibleVariables(variablesInScope, extension.file, selection, true);
+export function getSelectionContextVariables(file: string, selection: Range): { visibleVars: LJVariable[]; allVars: LJVariable[] } {
+    const globalVars = extension.context?.globalVars || [];
+    const localVars = extension.context?.localVars || [];
+    const variablesInScope = getVariablesInScope(localVars, file, selection);
+    const visibleVarsByPosition = getVisibleVariables(variablesInScope, file, selection, false);
+    const visibleVarsByAnnotationPosition = getVisibleVariables(variablesInScope, file, selection, true);
     const allVars = sortVariables(normalizeVariableRefinements([...globalVars, ...visibleVarsByPosition]));
-    extension.context.visibleVars = visibleVarsByAnnotationPosition;
-    extension.context.allVars = allVars;
+    return { visibleVars: visibleVarsByAnnotationPosition, allVars };
 }
 
 function getVariablesInScope(variables: LJVariable[], file: string, selection: Range): LJVariable[] {
diff --git a/client/src/services/events.ts b/client/src/services/events.ts
index 7306327..e7edd91 100644
--- a/client/src/services/events.ts
+++ b/client/src/services/events.ts
@@ -2,10 +2,10 @@ import * as vscode from 'vscode';
 import { extension } from '../state';
 import { updateStateMachine } from './state-machine';
 import { SELECTION_DEBOUNCE_MS } from '../utils/constants';
-import { normalizeRange, updateContextForSelection } from './context';
-import { normalizeFilePath } from '../utils/utils';
-import { Range } from '../types/context';
+import { getSelectionContextVariables, normalizeRange } from './context';
+import { normalizeFilePath, toRange } from '../utils/utils';
 import { updateErrorAtCursor } from './diagnostics';
+import type { Range } from '../types/context';
 
 let selectionTimeout: NodeJS.Timeout | null = null;
 
@@ -61,15 +61,12 @@ export async function onSelectionChange(event: vscode.TextEditorSelectionChangeE
  */
 function handleContextUpdate(selection: vscode.Selection) {
     if (!extension.file || !extension.context) return;
-    const range: Range = {
-        lineStart: selection.start.line,
-        colStart: selection.start.character,
-        lineEnd: selection.end.line,
-        colEnd: selection.end.character
-    };
-    const normalizedRange = normalizeRange(range);
+    
+    const normalizedRange = normalizeRange(toRange(selection));
+    const { allVars, visibleVars } = getSelectionContextVariables(extension.file, normalizedRange);
     extension.currentSelection = normalizedRange;
-    updateContextForSelection(normalizedRange);
+    extension.context.visibleVars = visibleVars;
+    extension.context.allVars = allVars;
     updateErrorAtCursor();
     extension.webview?.sendMessage({ type: "context", context: extension.context, errorAtCursor: extension.errorAtCursor });
 }
\ No newline at end of file
diff --git a/client/src/services/hover.ts b/client/src/services/hover.ts
index bf9938f..7b460eb 100644
--- a/client/src/services/hover.ts
+++ b/client/src/services/hover.ts
@@ -1,5 +1,8 @@
 import * as vscode from 'vscode';
 import { extension } from '../state';
+import type { Range, LJVariable } from '../types/context';
+import { getSelectionContextVariables } from './context';
+import { getOriginalVariableName, normalizeFilePath, toRange } from '../utils/utils';
 
 /**
  * Initializes hover provider for LiquidJava diagnostics
@@ -7,19 +10,41 @@ import { extension } from '../state';
 export function registerHover() {
     vscode.languages.registerHoverProvider('java', {
         provideHover(document, position) {
-            // if webview is visible, do not show hover
-            if (extension.webview?.isVisible()) return null;
-            
-            // get lj diagnostic at the current position
-            const diagnostics = vscode.languages.getDiagnostics(document.uri);
-            const diagnostic = diagnostics.find(d => d.range.contains(position) && d.source === 'liquidjava');
-            if (!diagnostic) return null;
-
-            // create hover content with link to open webview
             const hoverContent = new vscode.MarkdownString();
             hoverContent.isTrusted = true;
-            hoverContent.appendMarkdown(`\n\n[Open LiquidJava view](command:liquidjava.showView) for more details.`);
+
+            const variable = getHoveredVariable(document, position);
+            if (variable && variable.mainRefinement && variable.mainRefinement !== 'true')
+                hoverContent.appendCodeblock(`@Refinement("${variable.mainRefinement}")`, 'java');
+
+            const diagnostics = vscode.languages.getDiagnostics(document.uri);
+            const containsDiagnostic = !!diagnostics.find(d => d.range.contains(position) && d.source === 'liquidjava');
+            if (containsDiagnostic) {
+                if (hoverContent.value.length > 0) hoverContent.appendMarkdown(`\n\n`);
+                hoverContent.appendMarkdown(`[Open LiquidJava view](command:liquidjava.showView) for more details.`);
+            }
+            if (hoverContent.value.length === 0) return null;
             return new vscode.Hover(hoverContent);
         }
     });
 }
+
+function getHoveredVariable(document: vscode.TextDocument, position: vscode.Position): LJVariable | null {
+    if (!extension.context) return null;
+
+    const wordRange = document.getWordRangeAtPosition(position, /[#]?[A-Za-z_][A-Za-z0-9_#]*/);
+    if (!wordRange) return null;
+
+    const hoveredWord = document.getText(wordRange);
+    const file = normalizeFilePath(document.uri.fsPath);
+
+    // we need to use single point cursor position after variable to get all variables until that point
+    const positionAfterVariable = {
+        lineStart: wordRange.end.line,
+        colStart: wordRange.end.character,
+        lineEnd: wordRange.end.line,
+        colEnd: wordRange.end.character
+    };
+    const { allVars } = getSelectionContextVariables(file, positionAfterVariable);
+    return allVars.find(variable => getOriginalVariableName(variable.name) === hoveredWord);
+}
diff --git a/client/src/utils/utils.ts b/client/src/utils/utils.ts
index 14b233b..093c8be 100644
--- a/client/src/utils/utils.ts
+++ b/client/src/utils/utils.ts
@@ -2,7 +2,9 @@ import * as fs from "fs";
 import * as path from "path";
 import * as net from "net";
 import * as child_process from "child_process";
+import * as vscode from "vscode";
 import { JAVA_BINARY } from "./constants";
+import { Range } from "../types/context";
 
 /**
  * Finds the Java executable in the system, either in JAVA_HOME or in PATH
@@ -130,10 +132,22 @@ export function getSimpleName(qualifiedName: string): string {
 }
 
 export function getOriginalVariableName(name: string): string {
-    return name.split("_")[0].replace(/^#/, '');
+    if (name.startsWith("this#")) return name.replace(/^this#/, '');
+    if (name.startsWith("#")) return name.split("_")[0].replace(/^#/, '');
+    return name;
+    
 }
 
 export function normalizeFilePath(fsPath: string): string {
     // uppercase windows drive letter (c:\ -> C:\)
     return path.normalize(fsPath).replace(/^([a-z]):\\/, (_, drive) => drive.toUpperCase() + ':\\');
+}
+
+export function toRange(selection: vscode.Selection | vscode.Range): Range {
+    return {
+        lineStart: selection.start.line,
+        colStart: selection.start.character,
+        lineEnd: selection.end.line,
+        colEnd: selection.end.character
+    };
 }
\ No newline at end of file