diff --git a/conftest.py b/conftest.py
index 02182648..ae888af1 100644
--- a/conftest.py
+++ b/conftest.py
@@ -14,6 +14,7 @@ collect_ignore = [
     '__main__.py',
     'jedi/evaluate/compiled/subprocess/__main__.py',
     'build/',
+    'test/examples',
 ]
 
 
diff --git a/jedi/_compatibility.py b/jedi/_compatibility.py
index e3e50e5f..6c5e531a 100644
--- a/jedi/_compatibility.py
+++ b/jedi/_compatibility.py
@@ -264,6 +264,11 @@ try:
 except NameError:
     FileNotFoundError = IOError
 
+try:
+    NotADirectoryError = NotADirectoryError
+except NameError:
+    NotADirectoryError = IOError
+
 
 def no_unicode_pprint(dct):
     """
diff --git a/jedi/api/__init__.py b/jedi/api/__init__.py
index 49d0859b..6fc1fa2f 100644
--- a/jedi/api/__init__.py
+++ b/jedi/api/__init__.py
@@ -101,7 +101,7 @@ class Script(object):
             sys_path = list(map(force_unicode, sys_path))
 
         # Load the Python grammar of the current interpreter.
-        project = get_default_project()
+        project = get_default_project(path or os.getcwd())
         # TODO deprecate and remove sys_path from the Script API.
         if sys_path is not None:
             project._sys_path = sys_path
diff --git a/jedi/api/project.py b/jedi/api/project.py
index fcef1b9f..d7a5fb67 100644
--- a/jedi/api/project.py
+++ b/jedi/api/project.py
@@ -1,13 +1,14 @@
 import os
 import json
 
-from jedi._compatibility import FileNotFoundError
+from jedi._compatibility import FileNotFoundError, NotADirectoryError
 from jedi.api.environment import DefaultEnvironment, \
     get_default_environment, from_executable
 from jedi.api.exceptions import WrongVersion
 from jedi._compatibility import force_unicode
 from jedi.evaluate.sys_path import detect_additional_paths
 from jedi.evaluate.cache import evaluator_as_method_param_cache
+from jedi.evaluate.sys_path import traverse_parents
 
 _CONFIG_FOLDER = '.jedi'
 _CONTAINS_POTENTIAL_PROJECT = 'setup.py', '.git', '.hg', 'MANIFEST.in'
@@ -54,7 +55,8 @@ class Project(object):
             rely on your packages being properly configured on the
             ``sys.path``.
         """
-        def py2_comp(path, environment=None, sys_path=None, smart_sys_path=True):
+        def py2_comp(path, environment=None, sys_path=None,
+                     smart_sys_path=True, _django=False):
             self._path = path
             if isinstance(environment, DefaultEnvironment):
                 self._environment = environment
@@ -62,6 +64,7 @@ class Project(object):
 
             self._sys_path = sys_path
             self._smart_sys_path = smart_sys_path
+            self._django = _django
 
         py2_comp(path, **kwargs)
 
@@ -90,11 +93,15 @@ class Project(object):
         if evaluator.script_path is None or not self._smart_sys_path:
             return sys_path
 
+        prefixed = []
+        if self._smart_sys_path:
+            if self._django:
+                prefixed.append(self._path)
         added_paths = map(
             force_unicode,
             detect_additional_paths(evaluator, evaluator.script_path)
         )
-        return sys_path + list(added_paths)
+        return prefixed + sys_path + list(added_paths)
 
     def save(self):
         data = dict(self.__dict__)
@@ -121,26 +128,38 @@ def _is_potential_project(path):
     return False
 
 
+def _is_django_path(directory):
+    """ Detects the path of the very well known Django library (if used) """
+    try:
+        with open(os.path.join(directory, 'manage.py'), 'br') as f:
+            return b"DJANGO_SETTINGS_MODULE" in f.read()
+    except (FileNotFoundError, NotADirectoryError):
+        return False
+
+    return False
+
+
 def get_default_project(path=None):
     if path is None:
         path = os.getcwd()
 
-    previous = None
-    curdir = dir = os.path.realpath(path)
+    check = os.path.realpath(path)
     probable_path = None
-    while dir != previous:
+    for dir in traverse_parents(check, include_current=True):
         try:
             return Project.load(dir)
-        except FileNotFoundError:
+        except (FileNotFoundError, NotADirectoryError):
             pass
 
+        if _is_django_path(dir):
+            return Project(dir, _django=True)
+
         if probable_path is None and _is_potential_project(dir):
             probable_path = dir
 
-        previous = dir
-        dir = os.path.dirname(dir)
-    else:
-        if probable_path is not None:
-            # TODO search for setup.py etc
-            return Project(probable_path)
-        return Project(curdir)
+    if probable_path is not None:
+        # TODO search for setup.py etc
+        return Project(probable_path)
+
+    curdir = path if os.path.isdir(path) else os.path.dirname(path)
+    return Project(curdir)
diff --git a/jedi/evaluate/sys_path.py b/jedi/evaluate/sys_path.py
index 7dd42938..aa07d924 100644
--- a/jedi/evaluate/sys_path.py
+++ b/jedi/evaluate/sys_path.py
@@ -134,14 +134,13 @@ def sys_path_with_modifications(evaluator, module_context):
 
 
 def detect_additional_paths(evaluator, script_path):
-    django_paths = _detect_django_path(script_path)
     buildout_script_paths = set()
 
     for buildout_script_path in _get_buildout_script_paths(script_path):
         for path in _get_paths_from_buildout_script(evaluator, buildout_script_path):
             buildout_script_paths.add(path)
 
-    return django_paths + list(buildout_script_paths)
+    return list(buildout_script_paths)
 
 
 def _get_paths_from_buildout_script(evaluator, buildout_script_path):
@@ -161,13 +160,15 @@ def _get_paths_from_buildout_script(evaluator, buildout_script_path):
         yield path
 
 
-def traverse_parents(path):
-    while True:
-        new = os.path.dirname(path)
-        if new == path:
-            return
-        path = new
+def traverse_parents(path, include_current=False):
+    if not include_current:
+        path = os.path.dirname(path)
+
+    previous = None
+    while previous != path:
         yield path
+        previous = path
+        path = os.path.dirname(path)
 
 
 def _get_parent_dir_with_file(path, filename):
@@ -177,18 +178,6 @@ def _get_parent_dir_with_file(path, filename):
     return None
 
 
-def _detect_django_path(module_path):
-    """ Detects the path of the very well known Django library (if used) """
-    result = []
-
-    for parent in traverse_parents(module_path):
-        with ignored(IOError):
-            with open(parent + os.path.sep + 'manage.py'):
-                debug.dbg('Found django path: %s', module_path)
-                result.append(parent)
-    return result
-
-
 def _get_buildout_script_paths(module_path):
     """
     if there is a 'buildout.cfg' file in one of the parent directories of the
diff --git a/test/helpers.py b/test/helpers.py
index d1ee7828..54d4a2e0 100644
--- a/test/helpers.py
+++ b/test/helpers.py
@@ -13,7 +13,7 @@ else:
 TestCase = unittest.TestCase
 
 import os
-from os.path import abspath, dirname
+from os.path import abspath, dirname, join
 import functools
 
 test_dir = dirname(abspath(__file__))
@@ -21,6 +21,11 @@ root_dir = dirname(test_dir)
 
 sample_int = 1  # This is used in completion/imports.py
 
+
+def get_example_dir(name):
+    return join(test_dir, 'examples', name)
+
+
 def cwd_at(path):
     """
     Decorator to run function at `path`.
diff --git a/test/test_api/test_project.py b/test/test_api/test_project.py
new file mode 100644
index 00000000..a0f4e4d5
--- /dev/null
+++ b/test/test_api/test_project.py
@@ -0,0 +1,15 @@
+import os
+
+from ..helpers import get_example_dir
+
+
+def test_django_default_project(Script):
+    dir = get_example_dir('django')
+
+    script = Script(
+        "from app import models\nmodels.SomeMo",
+        path=os.path.join(dir, 'models/x.py')
+    )
+    c, = script.completions()
+    assert c.name == "SomeModel"
+    assert script._project._django is True