diff --git a/Makefile b/Makefile
index 5f27833005..8662626d31 100644
--- a/Makefile
+++ b/Makefile
@@ -200,7 +200,7 @@ uwsgi: collectstatic
 	    --logformat "%(addr) %(method) %(uri) - %(proto) %(status)"
 
 awx-autoreload:
-	@/awx_devel/tools/docker-compose/awx-autoreload /awx_devel "$(DEV_RELOAD_COMMAND)"
+	@/awx_devel/tools/docker-compose/awx-autoreload /awx_devel/awx "$(DEV_RELOAD_COMMAND)"
 
 daphne:
 	@if [ "$(VENV_BASE)" ]; then \
diff --git a/tools/docker-compose/awx-autoreload b/tools/docker-compose/awx-autoreload
index 5fcbb90026..e4a95ec52c 100755
--- a/tools/docker-compose/awx-autoreload
+++ b/tools/docker-compose/awx-autoreload
@@ -8,7 +8,7 @@ fi
 
 last_reload=`date +%s`
 
-inotifywait -mrq -e create,delete,attrib,close_write,move --exclude '/awx_devel/awx/ui' $1 | while read directory action file; do
+inotifywait -mrq -e create,delete,attrib,close_write,move --exclude '(/awx_devel/awx/ui|/awx_devel/awx/.*/tests)' $1 | while read directory action file; do
    this_reload=`date +%s`
    since_last=$((this_reload-last_reload))
    if [[ "$file" =~ .*py$ ]] && [[ "$since_last" -gt 1 ]]; then