Relative path folder with "#" will show error "File names cannot end in dots or spaces" or generate new file

Steps to reproduce

  1. “New link format” set to Relative path to file in “Files and links” Settings .
  2. create a folder named “C#”, and create a note named “Target” in the folder.
  3. create a folder named “Other” , and create a note named “Test” in the folder:
[Target](../C#/Target.md)
  1. create a note named “Test2” in root folder.
[Target](C#/Target.md)

The directory structure now looks like this:

│  Test2.md
├─C#
│      Target.md
└─Other
        Test.md

If you click the link in the Test.md, it will show error File names cannot end in dots or spaces.
If you click the link in the Test2.md, it will create a note named “C” in root folder.

Did you follow the troubleshooting guide? [Y]

Expected result

Relative paths should match files first, not the first ‘#’.

Actual result

it seems to be looking for the ‘/Target.md’ header inside the “C” note in the root directory, which doesn’t make sense.

Environment

SYSTEM INFO:
	Obsidian version: v1.6.7
	Installer version: v1.6.7
	Operating system: Windows 10 Pro 10.0.19045
	Login status: not logged in
	Insider build toggle: off
	Live preview: on
	Base theme: adapt to system
	Community theme: none
	Snippets enabled: 0
	Restricted mode: on

RECOMMENDATIONS:
	none

This is part of broader issues/not yet implemented features around relative links (especially important with standard markdown links in relative path mode).

Also we don’t support filepaths with # in links.

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