Love the extension! However, I have found it is not always consistent /w the emptyLinesUntilLevel settings. I haven't been able to identify the root cause thus far. I used this for sort my yaml and you can see how it is missing the nested line breaks on lines 33, 247, and 390.
"vscode-yaml-sort.customSortKeywords_1": [
"version",
"services",
"container_name",
"image",
"user",
"depends_on",
"enviroment",
"env_file",
"shm_size",
"hostname",
"ports",
"volumes",
"restart",
"volumes",
"command",
"health_check"
],
"vscode-yaml-sort.useAsFormatter": true,
"vscode-yaml-sort.emptyLinesUntilLevel": 2,
"vscode-yaml-sort.quotingType": "\"",
"vscode-yaml-sort.forceQuotes": true,