Using IntelliJIdea 12, i downloaded the Scala plugin and created a HelloWorld application.
The following import seems odd. Why does IDEA not recognize this to be a Scala Application? Is my setup incomplete?

I checked to see where does my compiler points to and got this. Don’t really see a way to navigate IDEA to my scala installation.
Please advise.

When creating a new Scala project from the wizard IDEA can download and configure everything for you:
Settings can be changed later in the Scala Facet:
and in Compiler:
Libraries configuration:
Code and imports completion is available from the Scala library: