Engagement is good stage to use when you're scheduling or have scheduled a first call, or when you're waiting on a deal to answer your followup questions.

Update Received is generally a stage to use for your portfolio companies - when they have provided you information that you need to respond to or act on, this is a good place to put them.

I've attached a photo of the standard Decile Hub pipeline stages for dealflow below - in general they go (from top to bottom) in order from first encountering a deal, to engaging and conducting diligence, to making the deal, to tracking them as a portfolio company.

You can customize your stages the way you like by going to Dealflow -> Deals -> Stages & Settings.