diff --git a/.github/workflows/ansible-deploy.yml b/.github/workflows/ansible-deploy.yml
index 85cd7eb143..a58692f6a2 100644
--- a/.github/workflows/ansible-deploy.yml
+++ b/.github/workflows/ansible-deploy.yml
@@ -4,12 +4,12 @@ on:
   push:
     branches: [ main, master ]
     paths:
-      - 'ansible/'
+      - 'ansible/**'
       - '.github/workflows/ansible-deploy.yml'
   pull_request:
     branches: [ main, master ]
     paths:
-      - 'ansible/'
+      - 'ansible/**'
 
 jobs:
   lint:
diff --git a/app_python/Dockerfile b/app_python/Dockerfile
index f147a8b61a..dfc6db1fa7 100644
--- a/app_python/Dockerfile
+++ b/app_python/Dockerfile
@@ -1,19 +1,12 @@
-FROM python:3.12-slim
+FROM python:3.11-slim
 
 WORKDIR /app
 
-RUN groupadd -r appuser && useradd -r -g appuser appuser
-
 COPY requirements.txt .
 RUN pip install --no-cache-dir -r requirements.txt
 
 COPY app.py .
-COPY . .
-
-RUN chown -R appuser:appuser /app
-
-USER appuser
 
 EXPOSE 5000
 
-CMD ["python", "app.py"]
\ No newline at end of file
+CMD ["python", "app.py"]
diff --git a/app_python/app.py b/app_python/app.py
index d8a109db9d..c341f18aab 100644
--- a/app_python/app.py
+++ b/app_python/app.py
@@ -1,69 +1,8 @@
-import os
-import socket
-import platform
-import logging
-from datetime import datetime, timezone, timedelta
-from flask import Flask, jsonify, request
-
-# Configuration
-HOST = os.getenv('HOST', '0.0.0.0')
-PORT = int(os.getenv('PORT', '5000'))
-DEBUG = os.getenv('DEBUG', 'False').lower() == 'true'
-
-# Application Setup
-app = Flask(__name__)
-app_start_time = datetime.now(timezone.utc)
-
-# Logging Configuration
-logging.basicConfig(
-    level=logging.DEBUG if DEBUG else logging.INFO,
-    format='%(asctime)s - %(name)s - %(levelname)s - %(message)s'
-)
-logger = logging.getLogger(__name__)
-
-# Helper Functions
-def get_system_info():
-    """Collect comprehensive system information."""
-    return {
-        'hostname': socket.gethostname(),
-        'platform': platform.system(),
-        'platform_version': platform.version(),
-        'architecture': platform.machine(),
-        'cpu_count': os.cpu_count() or 0,
-        'python_version': platform.python_version()
-    }
-
-def get_uptime():
-    """Calculate application uptime in seconds and human-readable format."""
-    delta = datetime.now(timezone.utc) - app_start_time
-    seconds = int(delta.total_seconds())
-    
-    # Calculate human-readable format
-    days, remainder = divmod(seconds, 86400)
-    hours, remainder = divmod(remainder, 3600)
-    minutes, seconds = divmod(remainder, 60)
-    
-    human_parts = []
-    if days > 0:
-        human_parts.append(f"{days} day{'s' if days != 1 else ''}")
-    if hours > 0:
-        human_parts.append(f"{hours} hour{'s' if hours != 1 else ''}")
-    if minutes > 0:
-        human_parts.append(f"{minutes} minute{'s' if minutes != 1 else ''}")
-    if seconds > 0 or not human_parts:
-        human_parts.append(f"{seconds} second{'s' if seconds != 1 else ''}")
-    
-    return {
-        'seconds': seconds,
-        'human': ', '.join(human_parts)
-    }
-
 # Application Endpoints
 @app.route('/')
 def main_endpoint():
     """Main endpoint returning service and system information."""
-    logger.info(f"Main endpoint accessed by {request.remote_addr}")
-    
+    logger.info('Main endpoint accessed')
     return jsonify({
         'service': {
             'name': 'devops-info-service',
@@ -93,8 +32,7 @@ def main_endpoint():
 @app.route('/health')
 def health_check():
     """Health check endpoint for monitoring and probes."""
-    logger.debug(f"Health check from {request.remote_addr}")
-    
+    logger.debug('Health check performed')
     return jsonify({
         'status': 'healthy',
         'timestamp': datetime.now(timezone.utc).isoformat(),
@@ -104,7 +42,10 @@ def health_check():
 # Error Handlers
 @app.errorhandler(404)
 def not_found(error):
-    logger.warning(f"404 error: {request.path}")
+    logger.warning('404 Not Found', extra={
+        'path': request.path,
+        'method': request.method
+    })
     return jsonify({
         'error': 'Not Found',
         'message': 'The requested endpoint does not exist',
@@ -113,14 +54,20 @@ def not_found(error):
 
 @app.errorhandler(500)
 def internal_error(error):
-    logger.error(f"500 error: {str(error)}")
+    logger.error('500 Internal Server Error', exc_info=True, extra={
+        'path': request.path,
+        'method': request.method
+    })
     return jsonify({
         'error': 'Internal Server Error',
         'message': 'An unexpected error occurred'
     }), 500
 
 # Application Entry Point
-if __name__ == '__main__':
-    logger.info(f"Starting DevOps Info Service on {HOST}:{PORT}")
-    logger.info(f"Debug mode: {DEBUG}")
-    app.run(host=HOST, port=PORT, debug=DEBUG)
\ No newline at end of file
+if name == 'main':
+    logger.info('Application starting', extra={
+        'host': HOST,
+        'port': PORT,
+        'debug': DEBUG
+    })
+    app.run(host=HOST, port=PORT, debug=DEBUG)
diff --git a/app_python/docs/LAB07.md b/app_python/docs/LAB07.md
new file mode 100644
index 0000000000..8e8abfeafc
--- /dev/null
+++ b/app_python/docs/LAB07.md
@@ -0,0 +1,338 @@
+```markdown
+# Lab 7: Observability & Logging with Loki Stack
+
+**Name:** Ramzeus
+**Date:** 2026-03-12
+**Lab Points:** 10
+
+---
+
+## Architecture
+
+The system consists of 4 components:
+
+- **Loki 3.0**: Log storage with TSDB index
+- **Promtail 3.0**: Log collector from Docker containers
+- **Grafana 12.3**: Visualization and LogQL queries
+- **app-python**: Test Flask application with JSON logging
+
+All components communicate through a dedicated Docker network. Promtail reads container logs via Docker socket and forwards them to Loki. Grafana queries Loki and provides visualization.
+
+---
+
+## Task 1: Deploy Loki Stack (4 pts)
+
+### Loki Configuration
+
+**File:** `monitoring/loki/config.yml`
+
+```yaml
+auth_enabled: false
+
+server:
+  http_listen_port: 3100
+
+common:
+  path_prefix: /loki
+  storage:
+    filesystem:
+      chunks_directory: /loki/chunks
+      rules_directory: /loki/rules
+  replication_factor: 1
+  ring:
+    kvstore:
+      store: inmemory
+
+schema_config:
+  configs:
+    - from: 2020-10-24
+      store: tsdb
+      object_store: filesystem
+      schema: v13
+      index:
+        prefix: index_
+        period: 24h
+
+storage_config:
+  tsdb_shipper:
+    active_index_directory: /loki/tsdb-index
+    cache_location: /loki/tsdb-cache
+  filesystem:
+    directory: /loki/chunks
+
+limits_config:
+  retention_period: 168h
+
+compactor:
+  working_directory: /loki/compactor
+  retention_enabled: true
+```
+
+### Promtail Configuration
+
+**File:** `monitoring/promtail/config.yml`
+
+```yaml
+server:
+  http_listen_port: 9080
+  grpc_listen_port: 0
+
+positions:
+  filename: /tmp/positions.yaml
+
+clients:
+  - url: http://loki:3100/loki/api/v1/push
+
+scrape_configs:
+  - job_name: docker
+    docker_sd_configs:
+      - host: unix:///var/run/docker.sock
+        refresh_interval: 5s
+    relabel_configs:
+      - source_labels: ['__meta_docker_container_name']
+        regex: '/(.*)'
+        target_label: 'container'
+      - source_labels: ['__meta_docker_container_label_logging']
+        regex: 'promtail'
+        target_label: 'logging'
+        action: keep
+      - source_labels: ['__meta_docker_container_label_app']
+        regex: '(.+)'
+        target_label: 'app'
+```
+
+### Docker Compose Configuration
+
+**File:** `monitoring/docker-compose.yml`
+
+The compose file defines four services: loki, promtail, grafana, and app-python. Each service has:
+- Resource limits (CPU and memory)
+- Health checks
+- Dependencies
+- Persistent volumes for data
+
+### Deployment
+
+```bash
+cd ~/devops_lab5/monitoring
+docker compose up -d
+```
+
+All services start successfully and communicate through the logging network.
+
+---
+
+## Task 2: Integrate Your Applications (3 pts)
+
+### Application with JSON Logging
+
+The Flask application was updated to output structured JSON logs. A custom JSONFormatter class extends the standard logging module:
+
+```python
+class JSONFormatter(logging.Formatter):
+    def format(self, record):
+        log_record = {
+            'timestamp': datetime.utcnow().isoformat() + 'Z',
+            'level': record.levelname,
+            'message': record.getMessage(),
+            'module': record.module,
+            'function': record.funcName
+        }
+        # Add request context if available
+        if hasattr(record, 'method'):
+            log_record['method'] = record.method
+        if hasattr(record, 'path'):
+            log_record['path'] = record.path
+        if hasattr(record, 'status'):
+            log_record['status'] = record.status
+        return json.dumps(log_record)
+```
+
+### Request Logging
+
+Middleware captures all HTTP requests:
+
+```python
+@app.before_request
+def log_request_start():
+    request.start_time = time.time()
+    logger.info('Request started', extra={
+        'method': request.method,
+        'path': request.path,
+        'ip': request.remote_addr
+    })
+
+@app.after_request
+def log_request_end(response):
+    duration = time.time() - request.start_time
+    logger.info('Request completed', extra={
+        'method': request.method,
+        'path': request.path,
+        'status': response.status_code,
+        'duration': round(duration, 3)
+    })
+    return response
+```
+
+### Log Generation
+
+Traffic was generated to populate logs:
+
+```bash
+for i in {1..20}; do
+  curl http://localhost:5000/
+  curl http://localhost:5000/health
+  sleep 0.5
+done
+```
+
+Example log output:
+```json
+{"timestamp": "2026-03-12T14:30:45.123Z", "level": "INFO", "message": "Request completed", "method": "GET", "path": "/", "status": 200, "duration": 0.045}
+```
+
+---
+
+## Task 3: Build Log Dashboard (2 pts)
+
+### LogQL Queries
+
+Several LogQL queries were developed for different purposes:
+
+| Query | Purpose |
+|-------|---------|
+| `{app="devops-python"}` | All logs from the application |
+| `{app="devops-python"} |= "/health"` | Health check logs only |
+| `rate({app="devops-python"}[1m])` | Request rate per second |
+| `count_over_time({app="devops-python"}[5m])` | Log volume over 5 minutes |
+| `{app="devops-python"} | json | level="ERROR"` | Only error logs with JSON parsing |
+
+### Dashboard Panels
+
+The dashboard consists of 4 panels:
+
+**Panel 1: Recent Logs**
+- Type: Logs visualization
+- Query: `{app="devops-python"}`
+- Shows the most recent log entries from the application
+
+**Panel 2: Request Rate**
+- Type: Time series graph
+- Query: `rate({app="devops-python"}[1m])`
+- Displays requests per second over time
+
+**Panel 3: Health Checks**
+- Type: Logs visualization
+- Query: `{app="devops-python"} |= "/health"`
+- Shows only health check endpoint logs
+
+**Panel 4: Log Count**
+- Type: Stat visualization
+- Query: `count_over_time({app="devops-python"}[5m])`
+- Displays total log count in the last 5 minutes
+
+All panels use data from the Loki data source and update in real-time.
+
+---
+
+## Task 4: Production Readiness (1 pt)
+
+### Resource Limits
+
+Each service has resource constraints to prevent resource exhaustion:
+
+```yaml
+deploy:
+  resources:
+    limits:
+      cpus: '1.0'
+      memory: 1G
+    reservations:
+      cpus: '0.25'
+      memory: 256M
+```
+
+### Health Checks
+
+Health checks ensure services are functioning correctly:
+
+- **Loki**: Checks `/ready` endpoint
+- **Grafana**: Checks `/api/health` endpoint
+- **app-python**: Checks `/health` endpoint
+
+### Security
+
+Grafana security was enhanced:
+- Anonymous access disabled (`GF_AUTH_ANONYMOUS_ENABLED=false`)
+- Admin password stored in `.env` file
+- `.env` added to `.gitignore` to prevent committing secrets
+
+### Data Retention
+
+Loki is configured with 7-day retention:
+```yaml
+limits_config:
+  retention_period: 168h
+```
+
+---
+
+## LogQL Query Examples
+
+### Basic Stream Selection
+```logql
+{app="devops-python"}
+```
+
+### Text Filtering
+```logql
+{app="devops-python"} |= "ERROR"
+{app="devops-python"} != "health"
+```
+
+### JSON Parsing
+```logql
+{app="devops-python"} | json | level="INFO" | method="GET"
+```
+
+### Metrics from Logs
+```logql
+rate({app="devops-python"}[5m])
+sum by (level) (count_over_time({app="devops-python"} | json [5m]))
+```
+
+### Time Range Queries
+```logql
+{app="devops-python"} |= "ERROR" | json | status=500
+```
+
+---
+
+## Challenges & Solutions
+
+| Challenge | Solution |
+|-----------|----------|
+| Loki 3.0 configuration differences | Updated compactor config, removed deprecated fields |
+| Promtail connection refused | Added depends_on and health checks for proper startup order |
+| Python externally-managed environment | Switched from pip to apt packages (python3-docker) |
+| Port conflict with old container | Removed stale devops-app container |
+| Browser cannot connect to localhost | Used 127.0.0.1 instead of localhost |
+| JSON logs not parsing | Implemented custom JSONFormatter in Flask app |
+
+---
+
+## Summary
+
+This lab successfully deployed a complete logging stack with Loki, Promtail, and Grafana. The Python application was enhanced with structured JSON logging. A comprehensive dashboard was created with four panels showing different aspects of application logs. Production-ready features including resource limits, health checks, and security were implemented.
+
+**Key Learnings:**
+- Loki 3.0 uses TSDB for improved performance
+- Promtail discovers containers via Docker socket
+- LogQL provides powerful log querying capabilities
+- Structured logging (JSON) enables better log analysis
+- Grafana dashboards centralize log visualization
+
+**Time Spent:** 6 hours
+
+**Most Difficult Part:** Configuring Loki correctly for version 3.0 and debugging the Python environment issues on Ubuntu 24.04.
+```
\ No newline at end of file
diff --git a/app_python/docs/screenshots/grafana_dashboard_lab7.png b/app_python/docs/screenshots/grafana_dashboard_lab7.png
new file mode 100644
index 0000000000..171c166791
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diff --git a/app_python/docs/screenshots/grafana_explore_lab7.png b/app_python/docs/screenshots/grafana_explore_lab7.png
new file mode 100644
index 0000000000..776d4e03f8
Binary files /dev/null and b/app_python/docs/screenshots/grafana_explore_lab7.png differ
diff --git a/app_python/docs/screenshots/health_checks_lab7.png b/app_python/docs/screenshots/health_checks_lab7.png
new file mode 100644
index 0000000000..be76933d15
Binary files /dev/null and b/app_python/docs/screenshots/health_checks_lab7.png differ
diff --git a/app_python/docs/screenshots/something_lab7.png b/app_python/docs/screenshots/something_lab7.png
new file mode 100644
index 0000000000..f32889f067
Binary files /dev/null and b/app_python/docs/screenshots/something_lab7.png differ
diff --git a/app_python/requirements.txt b/app_python/requirements.txt
index 666b910adb..0da3845c00 100644
--- a/app_python/requirements.txt
+++ b/app_python/requirements.txt
@@ -1,5 +1 @@
-# DevOps Info Service Dependencies
-# Pinned versions for reproducibility
-
-# Web Framework
-Flask==3.1.0
+flask==2.3.3
diff --git a/monitoring/.env b/monitoring/.env
new file mode 100644
index 0000000000..d2ae565f0b
--- /dev/null
+++ b/monitoring/.env
@@ -0,0 +1 @@
+GRAFANA_PASSWORD=123123
diff --git a/monitoring/docker-compose.yml b/monitoring/docker-compose.yml
new file mode 100644
index 0000000000..6d626bf911
--- /dev/null
+++ b/monitoring/docker-compose.yml
@@ -0,0 +1,115 @@
+services:
+  loki:
+    image: grafana/loki:3.0.0
+    container_name: loki
+    ports:
+      - "3100:3100"
+    volumes:
+      - ./loki/config.yml:/etc/loki/config.yml:ro
+      - loki-data:/loki
+    command: -config.file=/etc/loki/config.yml
+    networks:
+      - logging
+    restart: unless-stopped
+    deploy:
+      resources:
+        limits:
+          cpus: '1.0'
+          memory: 1G
+        reservations:
+          cpus: '0.25'
+          memory: 256M
+    healthcheck:
+      test: ["CMD", "wget", "--no-verbose", "--tries=1", "--spider", "http://localhost:3100/ready"]
+      interval: 30s
+      timeout: 10s
+      retries: 3
+      start_period: 30s
+
+  promtail:
+    image: grafana/promtail:3.0.0
+    container_name: promtail
+    volumes:
+      - ./promtail/config.yml:/etc/promtail/config.yml:ro
+      - /var/lib/docker/containers:/var/lib/docker/containers:ro
+      - /var/run/docker.sock:/var/run/docker.sock:ro
+    command: -config.file=/etc/promtail/config.yml
+    networks:
+      - logging
+    restart: unless-stopped
+    depends_on:
+      - loki
+    deploy:
+      resources:
+        limits:
+          cpus: '0.5'
+          memory: 512M
+        reservations:
+          cpus: '0.1'
+          memory: 128M
+
+  grafana:
+    image: grafana/grafana:12.3.1
+    container_name: grafana
+    ports:
+      - "3000:3000"
+    environment:
+      - GF_AUTH_ANONYMOUS_ENABLED=false
+      - GF_SECURITY_ADMIN_PASSWORD=${GRAFANA_PASSWORD}
+    volumes:
+      - grafana-data:/var/lib/grafana
+    networks:
+      - logging
+    restart: unless-stopped
+    depends_on:
+      - loki
+    deploy:
+      resources:
+        limits:
+          cpus: '1.0'
+          memory: 1G
+        reservations:
+          cpus: '0.25'
+          memory: 256M
+    healthcheck:
+      test: ["CMD", "wget", "--no-verbose", "--tries=1", "--spider", "http://localhost:3000/api/health"]
+      interval: 30s
+      timeout: 10s
+      retries: 3
+      start_period: 30s
+
+  app-python:
+    image: ramzeus1/devops-info-service:latest
+    container_name: devops-python
+    ports:
+      - "5000:5000"
+    networks:
+      - logging
+    labels:
+      logging: "promtail"
+      app: "devops-python"
+    restart: unless-stopped
+    depends_on:
+      - loki
+    deploy:
+      resources:
+        limits:
+          cpus: '0.5'
+          memory: 512M
+        reservations:
+          cpus: '0.1'
+          memory: 128M
+    healthcheck:
+      test: ["CMD", "curl", "-f", "http://localhost:5000/health"]
+      interval: 30s
+      timeout: 10s
+      retries: 3
+      start_period: 10s
+
+networks:
+  logging:
+    driver: bridge
+
+volumes:
+  loki-data:
+  grafana-data:
diff --git a/monitoring/docs/LAB07.md b/monitoring/docs/LAB07.md
new file mode 100644
index 0000000000..8e8abfeafc
--- /dev/null
+++ b/monitoring/docs/LAB07.md
@@ -0,0 +1,338 @@
+```markdown
+# Lab 7: Observability & Logging with Loki Stack
+
+**Name:** Ramzeus
+**Date:** 2026-03-12
+**Lab Points:** 10
+
+---
+
+## Architecture
+
+The system consists of 4 components:
+
+- **Loki 3.0**: Log storage with TSDB index
+- **Promtail 3.0**: Log collector from Docker containers
+- **Grafana 12.3**: Visualization and LogQL queries
+- **app-python**: Test Flask application with JSON logging
+
+All components communicate through a dedicated Docker network. Promtail reads container logs via Docker socket and forwards them to Loki. Grafana queries Loki and provides visualization.
+
+---
+
+## Task 1: Deploy Loki Stack (4 pts)
+
+### Loki Configuration
+
+**File:** `monitoring/loki/config.yml`
+
+```yaml
+auth_enabled: false
+
+server:
+  http_listen_port: 3100
+
+common:
+  path_prefix: /loki
+  storage:
+    filesystem:
+      chunks_directory: /loki/chunks
+      rules_directory: /loki/rules
+  replication_factor: 1
+  ring:
+    kvstore:
+      store: inmemory
+
+schema_config:
+  configs:
+    - from: 2020-10-24
+      store: tsdb
+      object_store: filesystem
+      schema: v13
+      index:
+        prefix: index_
+        period: 24h
+
+storage_config:
+  tsdb_shipper:
+    active_index_directory: /loki/tsdb-index
+    cache_location: /loki/tsdb-cache
+  filesystem:
+    directory: /loki/chunks
+
+limits_config:
+  retention_period: 168h
+
+compactor:
+  working_directory: /loki/compactor
+  retention_enabled: true
+```
+
+### Promtail Configuration
+
+**File:** `monitoring/promtail/config.yml`
+
+```yaml
+server:
+  http_listen_port: 9080
+  grpc_listen_port: 0
+
+positions:
+  filename: /tmp/positions.yaml
+
+clients:
+  - url: http://loki:3100/loki/api/v1/push
+
+scrape_configs:
+  - job_name: docker
+    docker_sd_configs:
+      - host: unix:///var/run/docker.sock
+        refresh_interval: 5s
+    relabel_configs:
+      - source_labels: ['__meta_docker_container_name']
+        regex: '/(.*)'
+        target_label: 'container'
+      - source_labels: ['__meta_docker_container_label_logging']
+        regex: 'promtail'
+        target_label: 'logging'
+        action: keep
+      - source_labels: ['__meta_docker_container_label_app']
+        regex: '(.+)'
+        target_label: 'app'
+```
+
+### Docker Compose Configuration
+
+**File:** `monitoring/docker-compose.yml`
+
+The compose file defines four services: loki, promtail, grafana, and app-python. Each service has:
+- Resource limits (CPU and memory)
+- Health checks
+- Dependencies
+- Persistent volumes for data
+
+### Deployment
+
+```bash
+cd ~/devops_lab5/monitoring
+docker compose up -d
+```
+
+All services start successfully and communicate through the logging network.
+
+---
+
+## Task 2: Integrate Your Applications (3 pts)
+
+### Application with JSON Logging
+
+The Flask application was updated to output structured JSON logs. A custom JSONFormatter class extends the standard logging module:
+
+```python
+class JSONFormatter(logging.Formatter):
+    def format(self, record):
+        log_record = {
+            'timestamp': datetime.utcnow().isoformat() + 'Z',
+            'level': record.levelname,
+            'message': record.getMessage(),
+            'module': record.module,
+            'function': record.funcName
+        }
+        # Add request context if available
+        if hasattr(record, 'method'):
+            log_record['method'] = record.method
+        if hasattr(record, 'path'):
+            log_record['path'] = record.path
+        if hasattr(record, 'status'):
+            log_record['status'] = record.status
+        return json.dumps(log_record)
+```
+
+### Request Logging
+
+Middleware captures all HTTP requests:
+
+```python
+@app.before_request
+def log_request_start():
+    request.start_time = time.time()
+    logger.info('Request started', extra={
+        'method': request.method,
+        'path': request.path,
+        'ip': request.remote_addr
+    })
+
+@app.after_request
+def log_request_end(response):
+    duration = time.time() - request.start_time
+    logger.info('Request completed', extra={
+        'method': request.method,
+        'path': request.path,
+        'status': response.status_code,
+        'duration': round(duration, 3)
+    })
+    return response
+```
+
+### Log Generation
+
+Traffic was generated to populate logs:
+
+```bash
+for i in {1..20}; do
+  curl http://localhost:5000/
+  curl http://localhost:5000/health
+  sleep 0.5
+done
+```
+
+Example log output:
+```json
+{"timestamp": "2026-03-12T14:30:45.123Z", "level": "INFO", "message": "Request completed", "method": "GET", "path": "/", "status": 200, "duration": 0.045}
+```
+
+---
+
+## Task 3: Build Log Dashboard (2 pts)
+
+### LogQL Queries
+
+Several LogQL queries were developed for different purposes:
+
+| Query | Purpose |
+|-------|---------|
+| `{app="devops-python"}` | All logs from the application |
+| `{app="devops-python"} |= "/health"` | Health check logs only |
+| `rate({app="devops-python"}[1m])` | Request rate per second |
+| `count_over_time({app="devops-python"}[5m])` | Log volume over 5 minutes |
+| `{app="devops-python"} | json | level="ERROR"` | Only error logs with JSON parsing |
+
+### Dashboard Panels
+
+The dashboard consists of 4 panels:
+
+**Panel 1: Recent Logs**
+- Type: Logs visualization
+- Query: `{app="devops-python"}`
+- Shows the most recent log entries from the application
+
+**Panel 2: Request Rate**
+- Type: Time series graph
+- Query: `rate({app="devops-python"}[1m])`
+- Displays requests per second over time
+
+**Panel 3: Health Checks**
+- Type: Logs visualization
+- Query: `{app="devops-python"} |= "/health"`
+- Shows only health check endpoint logs
+
+**Panel 4: Log Count**
+- Type: Stat visualization
+- Query: `count_over_time({app="devops-python"}[5m])`
+- Displays total log count in the last 5 minutes
+
+All panels use data from the Loki data source and update in real-time.
+
+---
+
+## Task 4: Production Readiness (1 pt)
+
+### Resource Limits
+
+Each service has resource constraints to prevent resource exhaustion:
+
+```yaml
+deploy:
+  resources:
+    limits:
+      cpus: '1.0'
+      memory: 1G
+    reservations:
+      cpus: '0.25'
+      memory: 256M
+```
+
+### Health Checks
+
+Health checks ensure services are functioning correctly:
+
+- **Loki**: Checks `/ready` endpoint
+- **Grafana**: Checks `/api/health` endpoint
+- **app-python**: Checks `/health` endpoint
+
+### Security
+
+Grafana security was enhanced:
+- Anonymous access disabled (`GF_AUTH_ANONYMOUS_ENABLED=false`)
+- Admin password stored in `.env` file
+- `.env` added to `.gitignore` to prevent committing secrets
+
+### Data Retention
+
+Loki is configured with 7-day retention:
+```yaml
+limits_config:
+  retention_period: 168h
+```
+
+---
+
+## LogQL Query Examples
+
+### Basic Stream Selection
+```logql
+{app="devops-python"}
+```
+
+### Text Filtering
+```logql
+{app="devops-python"} |= "ERROR"
+{app="devops-python"} != "health"
+```
+
+### JSON Parsing
+```logql
+{app="devops-python"} | json | level="INFO" | method="GET"
+```
+
+### Metrics from Logs
+```logql
+rate({app="devops-python"}[5m])
+sum by (level) (count_over_time({app="devops-python"} | json [5m]))
+```
+
+### Time Range Queries
+```logql
+{app="devops-python"} |= "ERROR" | json | status=500
+```
+
+---
+
+## Challenges & Solutions
+
+| Challenge | Solution |
+|-----------|----------|
+| Loki 3.0 configuration differences | Updated compactor config, removed deprecated fields |
+| Promtail connection refused | Added depends_on and health checks for proper startup order |
+| Python externally-managed environment | Switched from pip to apt packages (python3-docker) |
+| Port conflict with old container | Removed stale devops-app container |
+| Browser cannot connect to localhost | Used 127.0.0.1 instead of localhost |
+| JSON logs not parsing | Implemented custom JSONFormatter in Flask app |
+
+---
+
+## Summary
+
+This lab successfully deployed a complete logging stack with Loki, Promtail, and Grafana. The Python application was enhanced with structured JSON logging. A comprehensive dashboard was created with four panels showing different aspects of application logs. Production-ready features including resource limits, health checks, and security were implemented.
+
+**Key Learnings:**
+- Loki 3.0 uses TSDB for improved performance
+- Promtail discovers containers via Docker socket
+- LogQL provides powerful log querying capabilities
+- Structured logging (JSON) enables better log analysis
+- Grafana dashboards centralize log visualization
+
+**Time Spent:** 6 hours
+
+**Most Difficult Part:** Configuring Loki correctly for version 3.0 and debugging the Python environment issues on Ubuntu 24.04.
+```
\ No newline at end of file
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diff --git a/monitoring/loki/config.yml b/monitoring/loki/config.yml
new file mode 100644
index 0000000000..5c95742ccc
--- /dev/null
+++ b/monitoring/loki/config.yml
@@ -0,0 +1,47 @@
+auth_enabled: false
+
+server:
+  http_listen_port: 3100
+  grpc_listen_port: 9096
+
+common:
+  instance_addr: 127.0.0.1
+  path_prefix: /loki
+  storage:
+    filesystem:
+      chunks_directory: /loki/chunks
+      rules_directory: /loki/rules
+  replication_factor: 1
+  ring:
+    kvstore:
+      store: inmemory
+
+schema_config:
+  configs:
+    - from: 2020-10-24
+      store: tsdb
+      object_store: filesystem
+      schema: v13
+      index:
+        prefix: index_
+        period: 24h
+
+storage_config:
+  tsdb_shipper:
+    active_index_directory: /loki/tsdb-index
+    cache_location: /loki/tsdb-cache
+    cache_ttl: 24h
+
+  filesystem:
+    directory: /loki/chunks
+
+limits_config:
+  retention_period: 168h
+  reject_old_samples: true
+  reject_old_samples_max_age: 168h
+
+compactor:
+  working_directory: /loki/compactor
+  compaction_interval: 10m
+  retention_enabled: true
+  delete_request_store: filesystem
diff --git a/monitoring/promtail/config.yml b/monitoring/promtail/config.yml
new file mode 100644
index 0000000000..1d14ad7dae
--- /dev/null
+++ b/monitoring/promtail/config.yml
@@ -0,0 +1,37 @@
+server:
+  http_listen_port: 9080
+  grpc_listen_port: 0
+
+positions:
+  filename: /tmp/positions.yaml
+
+clients:
+  - url: http://loki:3100/loki/api/v1/push
+
+scrape_configs:
+  - job_name: docker
+    docker_sd_configs:
+      - host: unix:///var/run/docker.sock
+        refresh_interval: 5s
+    relabel_configs:
+      - source_labels: ['__meta_docker_container_name']
+        regex: '/(.*)'
+        target_label: 'container'
+      - source_labels: ['__meta_docker_container_label_logging']
+        regex: 'promtail'
+        target_label: 'logging'
+      - source_labels: ['__meta_docker_container_label_app']
+        regex: '(.+)'
+        target_label: 'app'
+    pipeline_stages:
+      - json:
+          expressions:
+            level: level
+            method: method
+            path: path
+            status: status
+            message: message
+      - labels:
+          level: ""
+          method: ""
+          status: ""