diff --git a/org.eclipse.xtext.tests/src/org/eclipse/xtext/xtext/generator/hoisting/HoistingProcessorTest.java b/org.eclipse.xtext.tests/src/org/eclipse/xtext/xtext/generator/hoisting/HoistingProcessorTest.java
index 1b598e461..b544165c1 100644
--- a/org.eclipse.xtext.tests/src/org/eclipse/xtext/xtext/generator/hoisting/HoistingProcessorTest.java
+++ b/org.eclipse.xtext.tests/src/org/eclipse/xtext/xtext/generator/hoisting/HoistingProcessorTest.java
@@ -8,6 +8,8 @@
  *******************************************************************************/
 package org.eclipse.xtext.xtext.generator.hoisting;
 
+import javax.management.RuntimeErrorException;
+
 import org.eclipse.emf.ecore.EPackage;
 import org.eclipse.emf.ecore.xml.type.XMLTypePackage;
 import org.eclipse.xtext.AbstractRule;
@@ -1079,4 +1081,47 @@ public class HoistingProcessorTest extends AbstractXtextTests {
 		assertTrue(guard.hasTerminal());
 		assertEquals("(((" + getSyntaxForKeywordToken("a", 2) + " && " + getSyntaxForEofToken(2) + ") || (p0)) && (" + getSyntaxForKeywordToken("b", 2) + " || (p1)))", guard.render());
 	}
+	
+	@Test
+	public void testRecursiveContextWithIntermediate_expectCorrectResult() throws Exception {
+		// @formatter:off
+		String model =
+			MODEL_PREAMBLE +
+			"tokenLimit 4\n" + 
+			"hoistingDebug\n" +
+			"S: a=A ;\n" +
+			"A: $$ p0 $$?=> 'a' \n" +
+			" | $$ p1 $$?=> 'a' s=S ;\n";
+		// @formatter:off
+		XtextResource resource = getResourceFromString(model);
+		Grammar grammar = ((Grammar) resource.getContents().get(0));
+		hoistingProcessor.init(grammar);
+		AbstractRule rule = getRule(grammar, "A");
+		
+		HoistingGuard guard = hoistingProcessor.findHoistingGuard(rule.getAlternatives());
+		assertFalse(guard.isTrivial());
+		assertTrue(guard.hasTerminal());
+		assertEquals("((" + getSyntaxForEofToken(2) + " || (p0)) && (" + getSyntaxForKeywordToken("a", 2) + " || (p1)))", guard.render());
+	}
+	
+	@Test
+	public void testRecursiveContextNoIntermediate_expectCorrectResult() throws Exception {
+		// @formatter:off
+		String model =
+			MODEL_PREAMBLE +
+			"tokenLimit 4\n" + 
+			"hoistingDebug\n" +
+			"S: $$ p0 $$?=> 'a' \n" +
+			" | $$ p1 $$?=> 'a' s=S ;\n";
+		// @formatter:off
+		XtextResource resource = getResourceFromString(model);
+		Grammar grammar = ((Grammar) resource.getContents().get(0));
+		hoistingProcessor.init(grammar);
+		AbstractRule rule = getRule(grammar, "S");
+		
+		HoistingGuard guard = hoistingProcessor.findHoistingGuard(rule.getAlternatives());
+		assertFalse(guard.isTrivial());
+		assertTrue(guard.hasTerminal());
+		assertEquals("((" + getSyntaxForEofToken(2) + " || (p0)) && (" + getSyntaxForKeywordToken("a", 2) + " || (p1)))", guard.render());
+	}
 }
diff --git a/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/HoistingProcessor.java b/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/HoistingProcessor.java
index 9ad351e47..535807812 100644
--- a/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/HoistingProcessor.java
+++ b/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/HoistingProcessor.java
@@ -329,7 +329,7 @@ public class HoistingProcessor {
 	}
 	
 	private HoistingGuard findGuardForUnorderedGroup(UnorderedGroup element, AbstractRule currentRule) {
-		// Unordered group (A & B) is the same as (A | B)+ or (A | B)* (is A and B are optional)
+		// Unordered group (A & B) is the same as (A | B)+ or (A | B)* (if A and B are optional)
 		// but the cardinality doesn't matter for hoisting
 		// if A and B are optional the guard for the alternatives need to check the context
 		// if not the alternatives are actual alternatives
diff --git a/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/pathAnalysis/TokenAnalysis.java b/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/pathAnalysis/TokenAnalysis.java
index a4604bd51..0a1f44c75 100644
--- a/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/pathAnalysis/TokenAnalysis.java
+++ b/org.eclipse.xtext.xtext.generator/src/org/eclipse/xtext/xtext/generator/parser/antlr/hoisting/pathAnalysis/TokenAnalysis.java
@@ -16,6 +16,7 @@ import java.util.List;
 import java.util.Objects;
 import java.util.Set;
 import java.util.function.Function;
+import java.util.function.Predicate;
 import java.util.stream.Collectors;
 import java.util.stream.IntStream;
 
@@ -61,6 +62,10 @@ public class TokenAnalysis {
 	}
 	
 	private List<AbstractElement> getNextElementsInContext(AbstractElement last) {
+		return getNextElementsInContext(last, new HashSet<>());
+	}
+	
+	private List<AbstractElement> getNextElementsInContext(AbstractElement last, Set<AbstractElement> visited) {
 		List<AbstractElement> result = new ArrayList<>();
 		
 		AbstractElement _last = last;
@@ -95,7 +100,9 @@ public class TokenAnalysis {
 		if (compoundContainer == null) {
 			// no container element; this is last element in a rule definition
 			AbstractRule rule = containingRule(last);			
-			List<RuleCall> calls = findAllRuleCalls(grammar, rule);
+			List<RuleCall> calls = findAllRuleCalls(grammar, rule).stream()
+					.filter(Predicate.not(visited::contains))
+					.collect(Collectors.toList());
 
 			if (calls.isEmpty()) {
 				// has to be start rule
@@ -104,7 +111,9 @@ public class TokenAnalysis {
 			}
 			
 			for (RuleCall call : calls) {
-				result.addAll(getNextElementsInContext(call));
+				Set<AbstractElement> _visited = new HashSet<>(visited);
+				_visited.add(call);
+				result.addAll(getNextElementsInContext(call, _visited));
 			}
 		} else if (compoundContainer instanceof Group) {
 			List<AbstractElement> elements = compoundContainer.getElements();
@@ -139,13 +148,13 @@ public class TokenAnalysis {
 					result.add(compoundContainer);
 				}
 				
-				result.addAll(getNextElementsInContext(compoundContainer));
+				result.addAll(getNextElementsInContext(compoundContainer, visited));
 			}
 		} else if (compoundContainer instanceof UnorderedGroup) {
 			result.addAll(compoundContainer.getElements().stream()
 				.collect(Collectors.toList())
 			);
-			result.addAll(getNextElementsInContext(compoundContainer));
+			result.addAll(getNextElementsInContext(compoundContainer, visited));
 		} else {
 			throw new IllegalArgumentException("unknown compound element: " + container.eClass().getName());
 		}
@@ -188,6 +197,7 @@ public class TokenAnalysis {
 			if (path.isDone()) {
 				result = result.merge(path);
 			} else {
+				log.info("context analysis failed");
 				throw new TokenAnalysisAbortedException("context analysis failed");
 			}
 		}
@@ -495,6 +505,7 @@ public class TokenAnalysis {
 						return true;
 					}
 				} catch (TokenAnalysisAbortedException e) {
+					log.info("token combinations: " + e.getMessage());
 					// tokens exhausted; abort current prefix
 					// set limit for calling functions so this index is not checked again
 					limit.set(i);