Basically the way it works is it goes and likes, follows, unfollows, and comments on content that you tell it to. And that will make it far more likely for those people to come check out your stuff, like it, comment, and follow you. My account sends out close to 800 likes per day, and follows/unfollows roughly 500-600 people per day, and leaves like 100 comments.>>3150438
I'm not at home right now, and I'm actually about to fly out of town, so I can't give you my exact settings, but check out this site, this will be a good base for you to start at.http://imristo.com/the-ultimate-followliker-instagram-tutorial/
One thing that I figured out is that targeting people that are following a specific account works MUCH better than targeting people that use a specific hashtag. For example, target the people that are liking, commenting or follow Peter Mckinnon (or whatever his name is) or someone that has similar content to your account because you know that they will already like your stuff.
And second, START SLOW. You have to kind of "train" instagram to get used to your account activity. So first day just start off following and unfollowing 50 people, and work your way up adding 50 more per day till you hit your target amount. Same with liking, and commenting.
Also, I've found that the unfollow function doesn't work that great. So I set the unfollow amount like 100 unfollows higher than my follows to ensure my following number doesn't inflate like crazy (which it has done in the past).