The performance of the multi-input multi-output (MIMO) systems can be improved by spatial modulation. By using spatial modulation, the transmitter can select the best transmit antenna based on the channel variations using channel state information (CSI). Also, the modulation helps the transmitter to select the best modulation level such that the system has the best performance in all situations. Hence, in this paper, two issues are considered including spatial modulation and information modulation selection. For the spatial modulation, an optimal solution for obtaining the probability of selecting antenna is calculated and then Huffman coding is used such that the transmitter can select the best transmit antenna to maximize the channel capacity. For the information modulation, a multi quadrature amplitude modulation (MQAM) strategy is used. In this modulation, the modulation size is changed based on the channel state variations; therefore, the best modu- lation index is used for transmitting data in all channel situations. In simulation results, the optimal method is compared with Huffman mapping. In addition, the effect of modulation on channel capacity and a bit error rate (BER) is shown.