Julen Lopetegui turned down the chance to manage the Wolves.
The preferred choice to take over from Bruno Lage was fired by Sevilla last week.
The former Real Madrid head coach was in talks with the Wolves executive chairman.
If you want a more accessible video player, please use the chrome browser.
The first candidate that the club approached was Lopetegui and he is represented by a close associate of the Wolves.
While the search for a new coach continues, Steve Davis and James Collins are in charge of the U18 and U21 teams.
Following Lage's dismissal at the beginning of the month, they were whitewashed by a trio of goals.
Wolves are currently in the bottom half of the league with just six points from their first nine games.
The Wolves will play the Forest on October 15.
The Crystal Palace vs Wolves game will be played on Tuesday.
The game is on Saturday October 23 in the premier league.
The premier league has a game on Saturday.
The game is on Saturday, November 5th in the premier league.
The Carabao Cup will be played on November 9th.
The game is on Saturday November 12th.