Grails Run-App error

[victorysatish05]

To run locally, you want to have Grails 1.3.7 installed. Copy cuanto-db.groovy file to the ~/.grails directory (or the Windows equivalent) and modify as described below. Copy your JDBC driver to the grails/lib directory. Then in the cuanto/grails directory, type grails upgrade. Then you can start Cuanto by executing grails run-app. Once it has started, the URL to reach Cuanto will be displayed, usually http://localhost:8080/cuanto.

After doing the above step and when i ran the run-app command. I am getting the below error. Any step should be done or missing. I am running the command from the run-app directory ...

does not appear to be part of a Grails application.
The following commands are supported outside of a project:
add-proxy
clear-proxy
create-app
create-plugin
help
list-plugins
package-plugin
plugin-info
remove-proxy
set-proxy
Run 'grails help' for a complete list of available scripts.

[victorysatish05]

This is on Windows machine.