ITunes also lets you create subfolders, or folders inside other folders. And iTunes will display nested disclosure triangles if your playlist folder contains non-empty subfolders. The disclosure triangle that allows you to expand a folder to peek at its content will automatically appear once you drag songs and subfolders to it. Notice that there is no disclosure triangle left of the new folder icon (like the one left of Playlists): this indicates an empty folder. Type your folder name over the selected text, and hit Enter/ Return to accept the new folder name. A new folder will be created right above your playlists, and selected text will read ' untitled folder'. To create a playlist folder in iTunes, choose New Folder under the File menu.
