GENERATORS
The Automation Clip channel is an internal controller plugin which feeds the audio/automation tracks in the Playlist window. There you can perform advanced operations such as defining the clip envelope and LFO articulation, slicing the clip and rearranging the slices to your preferences.
Normally all new automation clips are inserted in the dedicated Automation Clips group (for more information on groups, see Step Sequencer). It's a good practice to keep the clips in separate groups, as you will normally not use the grid or Piano Roll to trigger them.
To learn more about the settings you see when you open the channel settings of an audio clip, see Automation Clip Channel Settings.
To learn more about using these clips in the playlist window, slicing them, creating envelopes etc., see Playlist Clip Tracks.