In my opinion, the denouement of the story comes years later than the main action of the story. I think that the denouement comes when we find that Frederick thinks back happily to that afternoon when he tried to catch the duck.
The fact that he thinks back to that afternoon happily, and the fact that he does not remember the young woman or George, points to how the story has played out. Frederick has clearly gotten over his penchant for crying all the time. He is now self-assured -- he can be happy and does not have to credit it to some outside force like the young woman.