Yes, there are magnet switches which are mechanical and then there are Hall Effect switches that are solid-state devices that change state in presence of a magnetic field. I'll let you all see the microswitch plan when it's finished. It should work okay. I want to trip the circuit the minute the latch is no longer latched rather than waiting for the gate to actually start moving. That way if anyone leaves the latch unhooked while the gate looks closed the indicator will be red and the trains won't go through this section.
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