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Just to make sure I understand correctly, if a fired case drops freely into the gauge, and both the head and mouth ends fall between the high and low surfaces, then I don't need to full-length size or trim the case?
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Slamfire's photo shows very well the use of the gage. For semiautos, you should always full length size. Always. You can use your Dillon gage to set your die properly for your rifle's headspace. And after sizing you can use it to check if the brass needs to be trimmed.
At least in my Wilson gage any type of burr on the rim of the case will prevent it from allowing the gage to work properly. So just make sure you realize the limitation of the gage. I find a caliper to be much more useful in setting up my trimmer. YMMV.