I think I'm seeing the same issue, so I'll add some color.
The docs say, "We also watch all *.elm files in the current directory and its subdirectories. Whenever you change, add or remove one of them, we’ll rebuild your program and reload the page." However, if I have Main.elm in the directory in which elm-live is being run, changes to Main.elm do not cause the app to be rebuilt/reloaded. However, modifying files in the src directory (which is created by elm-live, AFAICT) do cause the app to be rebuilt/reloaded. For example, touch src/nope.elm.
I think I'm seeing the same issue, so I'll add some color.
The docs say, "We also watch all *.elm files in the current directory and its subdirectories. Whenever you change, add or remove one of them, we’ll rebuild your program and reload the page." However, if I have Main.elm in the directory in which elm-live is being run, changes to Main.elm do not cause the app to be rebuilt/reloaded. However, modifying files in the src directory (which is created by elm-live, AFAICT) do cause the app to be rebuilt/reloaded. For example,
touch src/nope.elm.