The app searches contacts, audio tracks, apps, and bookmarks. If a gesture is ambiguous, Gesture Search will return results for multiple interpretations. (For instance, in the screenshot on the right, Gesture Apps is unsure whether that first letter is an ‘H’ or an ‘A’, and is returning results for both.)
This could be a great feature down the line if it gets integrated into the basic UI. For now, this is almost certainly more trouble than it’s worth. Any time you might save is lost by having to open a new app.
Gesture Search requires Android 2.0 or better.