Brace height is the distance from the string to the belly of the bow. It is an important factor in arrow flight. The brace height of your bow determines how long the string stays with the arrow, pushing it forward. And it determines how much the limbs are being flexed, and how far back to their natural shape they are allowed to go when the bow is shot.
The brace height is where the string stops when the bow is shot. So it is also the place at which the arrow leaves the string and becomes a free flying object. If the brace height is too low... too close to the belly of the bow... then the string and the nock are still together when the arrow begins to bend around the bow. This causes all kinds of interference and is usually obvious because the arrow will "whack" loudly off the side of the bow, and typically wigwag and flop around in flight. There will also usually be a lot more hand shock present in the bow. This is because the tips of the limbs are allowed to travel too far forward. The lower brace height gives you more speed from your bow, and will probably prolong its life somewhat, but if you go too low, then it doesn't work well. My rule of thumb is to shoot all bows at the lowest point where they feel good and shoot well.
Twist the string to shorten its length. This will raise the brace height. Untwist it (or go to a longer string) to lengthen the string. This will lower the brace height. Or adjust the timberhitch. As in so much of shooting the bow, what works for you may not be right for me. So it's trial and error, and observation, to find what functions best.
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