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Hey filmandgo, this is definitely important to do, and you're right, it would be nice if it were covered in the video.
It's good practice to have a completely separate drive dedicated to disk caching. However, if you're going to do this, you want it to be a fast drive like an SSD. I have a USB 3 256 GB SSD just for my Adobe disk cache. This allows the software to quickly write and retrieve cache files. I also have my preview/render files for Premiere write to this drive. I set the After Effects cache to 100 GB, and it gets overwritten as needed. These files are available to you even after you restart After Effects, as long as nothing has changed. So if you cache your timeline at half res then you'll get the green render bar. If you switch to quarter or full, then you'll have to re-render, right? But if you quit Ae and then opened it back up and saw a blue bar (while viewing at half res) then that means there are cached files on a disk and when you render your timeline you'll see the green bar build up much, much, quicker, and that's because Ae is pulling those files from your cache drive.
The idea behind having a dedicated drive for this is to not slow anything else down. You should have one drive for your software, usually the internal disk; another fast drive for your media, such as a Thunderbolt RAID; and ideally, another drive for your cache files. Note that you won't be helping yourself if you plug something like a USB 2 drive into your machine to try to use that as a caching drive. It must be fast or you won't see any benefit.
You can read more about disk caching here: Memory and storage in After Effects
Thank you for the information, very easy to understand. I can finally get to work. Cheers!