Smooth gait on a loose rein?

I'm new to gaited horses and recently bought a 6 y o Spotted Saddle horse who was raised on the hills of Tennesee.  I can tell that he was broke and pointed down the trail.  He is fun on the trail, but has no breaks or steering!  I've started using a Myler combination bit on the trail, recommended to me by Dale Myler (comfort snaffle with three rings to choose from for more shank/control.  It has really helped to slow him down and get him listening to me.)  When I'm not trail riding we are working on our relationship, his respect and willingness on the ground. 

I am interested to hear from people experienced with gaited horses how their horses do while riding on a loose rein.  Is your horse able to find a smooth gait when ridden with a loose rein?  Can your horse gait naturally or does he need some support from a bit?

When I bought the horse, the seller was all about "You have to hold the gait in your hands!"  My friend found his smooth gait with contact and I did too with practice.  Not so much lately though.

I've watched David's video and hope that as Rascal becomes more relaxed and responsive that I can achieve a smooth gait on a loose rein.  He is a high spirited horse and can get trotty. 

Betty