The Glovers were solid defensively and limited the Sky Bet Championship side’s opportunities before succumbing to a 76th-minute goal by Mali international Nouha Dicko.
Former Rotherham United forward Dicko was one of a number of players in the Wolves team with second tier experience and James was content with how Yeovil dealt with them for the most part.
“It was good – a tough test,” he told Glovers iFollow.
“They’re a good team who passed it round well and I think the boys put one hell of a shift in.
“We really wanted to go and show the fans what we’re really about and I think we did that.
“We worked really hard and were unlucky not to get anything out of it considering we had the chance towards the end.
“They didn’t really look like scoring – we limited their opportunities as well as we could. Then it was a sloppy goal to concede from a set piece.
“It’s one of those things you have to deal with – they took their chance and we have to move on to Saturday now.”
James made his first start of the season at Molineux in the heart of a three-man Yeovil defence, flanked by Omar Sowunmi and Nathan Smith.
It was the first time the Welshman had played at centre-back in Green and White since his move from Cardiff City, and he was pleased with how things went.
James said: “It was really good and I really enjoyed having Omar – that big man – next to me and Smithy who has so much experience. I like the middle as I felt like I was in control of things.
“I try and spray a few balls around as much as I can. It’s part of my game and it helps the team out getting the ball wide to Otis (Khan) and (Rhys) Browny so I try and do it as much as I can.
“I’m feeling good, I’m feeling fit so hopefully I’ll be back out there Saturday.”
Town take on Accrington Stanley this weekend – their first match of the season at Huish Park.
Fans can purchase tickets in person at the ticket office, online or by phone on 01935 847888.