I often use a similar thread for piecing and quilting (just different colors). You can use machine thread for hand work but NO HAND THREAD IN THE MACHINE. The hand thread is coated and the coating is not good for the machine.
I love using variegated threads and I use Connecting Threads thread - love to get it when it goes on sale. Sometimes it is nice to use a thread that is a little heavier than regular piecing thread. Some machines are picky too and that dictates what brand or type to use.
There are needles coded for quilting but to tell the truth, I often use the same needles as for piecing. You have to remember that the needle has to make it through 3 layers so a heavier needle may be necessary. See what works with your machine.
Check your manual how to set up your machine for FMQ.