This Works on Windows XP and latest versions.
Step 1:-
Right Click with Mouse Where do you want to Create Invisible Folder




Step 2:-
Delete the "New Folder" Title of Folder and Make it Empty


Step 3:-
Now Type "0160" by pressing "Alt" button together i.e, alt+0160
Note:- You Have to use Numpad... and Make sure that NUMLOCK is On



That's it you have created a Nameless Folder... Now its time to make it Invisible

Step 4:-
Right Click on the Folder choose "Properties"



Step 5:-
Click on Customize Tab and Click on Change Icon



Step 6:-
Browse for the Empty Space. Select the Empty Space Click on OK



Step 7:- Click on Apply Button.
Now You have Created a Invisible Folder and Untraceable Folder