The "data in" and "data out" items are used to initiate a flow (line) with the value of a variable, or to force a variable on output with the value of a flow:

VarIn>- .......... ->VarOut

When used with a block, the "data in" and "data out" items can be put close to the block without any line in between to connect a variable to an input or output of the block.

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