diff --git a/frontend/src/App.tsx b/frontend/src/App.tsx
index fa561f6..f80851f 100644
--- a/frontend/src/App.tsx
+++ b/frontend/src/App.tsx
@@ -4,6 +4,7 @@ import { type Node } from '@xyflow/react'
 import { applyDagreLayout } from '@/utils/layout'
 import { serializeNode, serializeEdge, deserializeApiNode, deserializeApiEdge, type ApiNode, type ApiEdge } from '@/utils/canvasSerializer'
 import { generateUUID } from '@/utils/uuid'
+import { resolveVirtualEdgeParent } from '@/utils/virtualEdgeParent'
 import { generateMarkdownTable } from '@/utils/exportMarkdown'
 import { ExportModal } from '@/components/modals/ExportModal'
 import { exportCanvasToYaml, downloadYaml } from '@/utils/exportYaml'
@@ -37,7 +38,6 @@ import type { ZigbeeNode, ZigbeeEdge } from '@/components/zigbee/types'
 
 const STANDALONE = import.meta.env.VITE_STANDALONE === 'true'
 const STANDALONE_STORAGE_KEY = 'homelable_canvas'
-const CONTAINER_MODE_TYPES = new Set<NodeData['type']>(['proxmox', 'vm', 'lxc', 'docker_host'])
 
 export default function App() {
   const { loadCanvas, markSaved, markUnsaved, selectedNodeId, selectedNodeIds, addNode, updateNode, deleteNode, onConnect, updateEdge, deleteEdge, setProxmoxContainerMode, setNodeZIndex, editingGroupRectId, setEditingGroupRectId, editingTextId, setEditingTextId, nodes, edges, snapshotHistory, undo, redo, copySelectedNodes, pasteNodes } = useCanvasStore()
@@ -450,16 +450,14 @@ export default function App() {
     if (edgeData.type === 'virtual') {
       const src = nodes.find((n) => n.id === pendingConnection.source)
       const tgt = nodes.find((n) => n.id === pendingConnection.target)
-      const srcType = src?.data.type as NodeData['type']
-      const tgtType = tgt?.data.type as NodeData['type']
-      if ((srcType === 'lxc' || srcType === 'vm') && CONTAINER_MODE_TYPES.has(tgtType)) {
-        updateNode(pendingConnection.source, { parent_id: pendingConnection.target })
-      } else if (CONTAINER_MODE_TYPES.has(srcType) && (tgtType === 'lxc' || tgtType === 'vm')) {
-        updateNode(pendingConnection.target, { parent_id: pendingConnection.source })
-      } else if (srcType === 'docker_container' && tgtType === 'docker_host') {
-        updateNode(pendingConnection.source, { parent_id: pendingConnection.target })
-      } else if (tgtType === 'docker_container' && srcType === 'docker_host') {
-        updateNode(pendingConnection.target, { parent_id: pendingConnection.source })
+      if (src && tgt) {
+        const assignment = resolveVirtualEdgeParent(
+          { id: src.id, type: src.data.type as NodeData['type'] },
+          { id: tgt.id, type: tgt.data.type as NodeData['type'] },
+        )
+        if (assignment) {
+          updateNode(assignment.childId, { parent_id: assignment.parentId })
+        }
       }
     }
     setPendingConnection(null)
diff --git a/frontend/src/utils/__tests__/virtualEdgeParent.test.ts b/frontend/src/utils/__tests__/virtualEdgeParent.test.ts
new file mode 100644
index 0000000..6308866
--- /dev/null
+++ b/frontend/src/utils/__tests__/virtualEdgeParent.test.ts
@@ -0,0 +1,76 @@
+import { describe, it, expect } from 'vitest'
+import { resolveVirtualEdgeParent } from '../virtualEdgeParent'
+
+describe('resolveVirtualEdgeParent', () => {
+  it('nests lxc under proxmox (container-mode parent)', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'lxc1', type: 'lxc' },
+      { id: 'px1', type: 'proxmox' },
+    )
+    expect(res).toEqual({ childId: 'lxc1', parentId: 'px1' })
+  })
+
+  it('nests vm under proxmox regardless of edge direction', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'px1', type: 'proxmox' },
+      { id: 'vm1', type: 'vm' },
+    )
+    expect(res).toEqual({ childId: 'vm1', parentId: 'px1' })
+  })
+
+  it('nests docker_container under docker_host', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'dc1', type: 'docker_container' },
+      { id: 'dh1', type: 'docker_host' },
+    )
+    expect(res).toEqual({ childId: 'dc1', parentId: 'dh1' })
+  })
+
+  it('nests docker_container under lxc (reverse direction)', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'lxc1', type: 'lxc' },
+      { id: 'dc1', type: 'docker_container' },
+    )
+    expect(res).toEqual({ childId: 'dc1', parentId: 'lxc1' })
+  })
+
+  it('nests docker_container under lxc (forward direction)', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'dc1', type: 'docker_container' },
+      { id: 'lxc1', type: 'lxc' },
+    )
+    expect(res).toEqual({ childId: 'dc1', parentId: 'lxc1' })
+  })
+
+  it('nests docker_container under vm', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'dc1', type: 'docker_container' },
+      { id: 'vm1', type: 'vm' },
+    )
+    expect(res).toEqual({ childId: 'dc1', parentId: 'vm1' })
+  })
+
+  it('nests docker_container under proxmox (reverse direction)', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'px1', type: 'proxmox' },
+      { id: 'dc1', type: 'docker_container' },
+    )
+    expect(res).toEqual({ childId: 'dc1', parentId: 'px1' })
+  })
+
+  it('returns null when docker_container links to unsupported parent type', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'dc1', type: 'docker_container' },
+      { id: 'srv1', type: 'server' },
+    )
+    expect(res).toBeNull()
+  })
+
+  it('returns null for unrelated type pairs', () => {
+    const res = resolveVirtualEdgeParent(
+      { id: 'srv1', type: 'server' },
+      { id: 'rt1', type: 'router' },
+    )
+    expect(res).toBeNull()
+  })
+})
diff --git a/frontend/src/utils/virtualEdgeParent.ts b/frontend/src/utils/virtualEdgeParent.ts
new file mode 100644
index 0000000..b239822
--- /dev/null
+++ b/frontend/src/utils/virtualEdgeParent.ts
@@ -0,0 +1,38 @@
+import type { NodeData } from '@/types'
+
+export type NodeType = NodeData['type']
+
+const CONTAINER_MODE_TYPES = new Set<NodeType>(['proxmox', 'vm', 'lxc', 'docker_host'])
+const DOCKER_CONTAINER_PARENT_TYPES = new Set<NodeType>(['docker_host', 'lxc', 'vm', 'proxmox'])
+
+export interface VirtualEdgeEndpoint {
+  id: string
+  type: NodeType
+}
+
+export interface ParentAssignment {
+  childId: string
+  parentId: string
+}
+
+export function resolveVirtualEdgeParent(
+  source: VirtualEdgeEndpoint,
+  target: VirtualEdgeEndpoint,
+): ParentAssignment | null {
+  const { type: srcType, id: srcId } = source
+  const { type: tgtType, id: tgtId } = target
+
+  if ((srcType === 'lxc' || srcType === 'vm') && CONTAINER_MODE_TYPES.has(tgtType)) {
+    return { childId: srcId, parentId: tgtId }
+  }
+  if (CONTAINER_MODE_TYPES.has(srcType) && (tgtType === 'lxc' || tgtType === 'vm')) {
+    return { childId: tgtId, parentId: srcId }
+  }
+  if (srcType === 'docker_container' && DOCKER_CONTAINER_PARENT_TYPES.has(tgtType)) {
+    return { childId: srcId, parentId: tgtId }
+  }
+  if (tgtType === 'docker_container' && DOCKER_CONTAINER_PARENT_TYPES.has(srcType)) {
+    return { childId: tgtId, parentId: srcId }
+  }
+  return null
+}