The iCloud folder is initially installed in your Windows’ Photos folder, which is a special folder that itself can be moved. That said, if you want to simply move your iCloud photos folder, then you can relocate it to another location other than your Photos folder.
To move your iCloud Photos folder, follow these steps:
STEP 1. First open the iCloud application and then click the Options on the right of Photos
STEP 2. On the Photos Options screen then click Change…
STEP 3. Those comfortable using Windows will be more than familiar with the next step. You will need to browse for a new folder where you want to relocate your iCloud Photos folder.
STEP 4. Once you click OK you will be taken back to the Photos Options. You will still need to click OK again to completely confirm your location change.
Now your iCloud Photos folder will then be moved to the new folder or drive.