Abstract This study extends situational action theory (SAT) and its developmental ecological action (DEA) model by examining within‐ and between‐individual variations in offending among 1354 serious adolescent offenders using Pathways to Desistance data. It highlights the interplay between morality, self‐control, and delinquent peer associations, finding lower offending rates among adolescents with stronger morality, higher self‐control, and fewer delinquent peers. Criminogenic exposure increases and declines in morality or self‐control heighten crime risk. Self‐control is most effective in reducing offending when paired with strong moral values, especially in highly criminogenic environments. Morality's influence grows as self‐control strengthens or peer delinquency declines, supporting the DEA model's emphasis on the dynamic interaction of crime propensity and environmental influences.