Directory tracking does not seem to work with Liquid Prompt when the using shell-side configuration

[jjnilton]

When using Liquid Prompt, the directory tracking feature doesn't seem to work with the recommended shell-side configuration.

The Liquid Prompt looks like this:

18:08:52 user@host:~
$ 

It does work with the alternative configuration on Emacs side, but since it does not work on remote machines.