auto-loop videos

I'm trying to play videos off of a network device.

the idea is that xbmc loops over all videos (sequentially) in a certain folder on the network. once i put new files into that folder, the next xbmc loop includes those files.

I could think of two ways to do this:

a). have a dynamic playlist to do looping

b). somehow loop regular "sources" and enable "update library in background"

any tips/tricks how i can do this?

Thanks!