About Cutting Tool Preview
While creating any machining sequence, you can use the tool preview icon 
or the Tool Preview option on the shortcut menu to preview the cutting tool in the graphics window. The initial position of the cutting tool preview is based on the settings of the machining sequence. The position can be a start point, from point, retract plane, or a model boundary. The tool position near the model boundary is computed based on the outline of the workpiece, reference part, or top assembly.
or the Tool Preview option on the shortcut menu to preview the cutting tool in the graphics window. The initial position of the cutting tool preview is based on the settings of the machining sequence. The position can be a start point, from point, retract plane, or a model boundary. The tool position near the model boundary is computed based on the outline of the workpiece, reference part, or top assembly.Setting the value of the configuration option mfg_tool_preview_by_pick to yes, enables you to pick the position of the cutting tool after preview. The tool position is obtained by selecting a point on one of the following items. The default value of the configuration option is no.
• Location on the tool path
• Location on a surface
• Location on an edge
• Location on a curve
• Location on an axis
• Coordinate system
• Datum point
• Vertex
• Location on a face
You can also use the selection filters on the Status bar to select these locations. For all tools, except sketched tools, the tool geometry display is based on the parameters of the tool. In solid tool models, the display is created based on the values of the corresponding parameters specified on the solid models.