You need to specify the source dir
File> Project Structure > Modules
click the directory and click the Sources button
It's weird because usually it's done automatically. Maybe it's better if you recreate the project again.
If it is a maven project
Thanks
The first answer from irreputable above that starts out with "you need to specify the source dir" is correct, but I don't see him telling you the easy way to do so.
Simply right click on the java sources folder ("java" under src/main/java if it is a Maven project for example) and select Mark Directory As > Sources Root (see screenshot below).
This situation happens when the IDE looks for src folder, and it cannot find it in the path. Select the project root (F4 in windows) > Go to Modules on Side Tab > Select Sources > Select appropriate folder with source files in it> Click on the blue sources folder icon (for adding sources) > Click on Green Test Sources folder ( to add Unit test folders).
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