I feel really weird writing this. Answering my own question. I hope this will help some poor soul our there.
In order of QD to get your query properly:
1. include your dir at "set dirs {www tcl www/subdir/yourdir}" its at the bottom of /tcl/zz-postload.tcl
2. make the xql file either manual or via Query Extractor. Did mine manually since it was simple SQLs.
3. on the xql file name your query as "name=dbqd.www.subdir.yourdir.youfile"
4. restart aolserver.
I dont advice you do use this method. Although I think for simple queries this will do. The down sides here, you have to restart aolserver since RP does not watch the files under www.
Jun