Installing Parallels and Windows on 2nd drive

I have used windows xp with parallels 5 for several years on my MacBook. We are upgrading to a MacPro and wondered about installing a second HD in the machine that would run windows 7 only. The question is, could we have parallels running that would allow us to have Lion on one drive and parallels running to access the windows OS on the 2nd drive? Or does the Windows install have to be on the 1st drive in order to run in parallel?

 

Parallels Desktop doesn't require Windows to run so it doesn't matter where Windows is.

The Parallels Desktop application is usually in the startup disk's Applications folder.
The virtual machine file (.pvm) which contains the configuration information (.pvs) for a virtual machine can be stored anywhere.
The virtual hard disk file (.hdd) is usually stored inside the virtual machine file but can also be stored anywhere.
The virtual hard disk file contains configuration info (.xml) that points to a virtual hard disk image (.hds) or it can point to a set of Boot Camp partition(s) on any single disk.