If I move my itunes library folder to an external drive, will the "automatically add to itunes" folder add music to the hard-drive? - PC

I want to move my itunes library to an external hard-drive but I am worried that the "automatically add to itunes" folder won't work in terms of adding music to the folder on the external hard-drive containing the library. Can someone tell me if it works or if you can walk me through the process? Also is there anything I need to be aware of?