diff --git a/public/app/plugins/panel/gauge/Threshold.test.tsx b/public/app/plugins/panel/gauge/Threshold.test.tsx
index 9a7c103814e..642debecd0b 100644
--- a/public/app/plugins/panel/gauge/Threshold.test.tsx
+++ b/public/app/plugins/panel/gauge/Threshold.test.tsx
@@ -2,17 +2,14 @@ import React from 'react';
 import { shallow } from 'enzyme';
 import Thresholds from './Thresholds';
 import { defaultProps, OptionsProps } from './module';
-import { BasicGaugeColor, PanelOptionsProps } from '../../../types';
+import { PanelOptionsProps } from 'app/types';
 
 const setup = (propOverrides?: object) => {
   const props: PanelOptionsProps<OptionsProps> = {
     onChange: jest.fn(),
     options: {
       ...defaultProps.options,
-      thresholds: [
-        { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
-        { index: 1, label: 'Max', value: 100, canRemove: false },
-      ],
+      thresholds: [],
     },
   };
 
@@ -22,124 +19,55 @@ const setup = (propOverrides?: object) => {
 };
 
 describe('Add threshold', () => {
-  it('should add threshold between min and max', () => {
+  it('should add threshold', () => {
     const instance = setup();
 
-    instance.onAddThreshold(1);
+    instance.onAddThreshold(0);
 
-    expect(instance.state.thresholds).toEqual([
-      { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
-      { index: 1, label: '', value: 50, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-      { index: 2, label: 'Max', value: 100, canRemove: false },
-    ]);
+    expect(instance.state.thresholds).toEqual([{ index: 0, value: 50, color: 'rgb(127, 115, 64)' }]);
   });
 
-  it('should add threshold between min and added threshold', () => {
+  it('should add another threshold above a first', () => {
     const instance = setup({
       options: {
         ...defaultProps.options,
-        thresholds: [
-          { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
-          { index: 1, label: '', value: 50, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-          { index: 2, label: 'Max', value: 100, canRemove: false },
-        ],
+        thresholds: [{ index: 0, value: 50, color: 'rgb(127, 115, 64)' }],
       },
     });
 
     instance.onAddThreshold(1);
 
     expect(instance.state.thresholds).toEqual([
-      { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
-      { index: 1, label: '', value: 25, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-      { index: 2, label: '', value: 50, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-      { index: 3, label: 'Max', value: 100, canRemove: false },
+      { index: 0, value: 50, color: 'rgb(127, 115, 64)' },
+      { index: 1, value: 75, color: 'rgb(170, 95, 61)' },
     ]);
   });
 });
 
-describe('Add at index', () => {
-  it('should return 1, no added thresholds', () => {
-    const instance = setup();
-
-    const result = instance.insertAtIndex(1);
-
-    expect(result).toEqual(1);
-  });
-
-  it('should return 1, one added threshold', () => {
-    const instance = setup();
-    instance.state = {
-      baseColor: BasicGaugeColor.Green,
-      thresholds: [
-        { index: 0, label: 'Min', value: 0, canRemove: false },
-        { index: 1, label: '', value: 50, canRemove: true },
-        { index: 2, label: 'Max', value: 100, canRemove: false },
-      ],
-    };
-
-    const result = instance.insertAtIndex(1);
-
-    expect(result).toEqual(1);
-  });
-
-  it('should return 2, two added thresholds', () => {
-    const instance = setup({
-      options: {
-        thresholds: [
-          { index: 0, label: 'Min', value: 0, canRemove: false },
-          { index: 1, label: '', value: 25, canRemove: true },
-          { index: 2, label: '', value: 50, canRemove: true },
-          { index: 3, label: 'Max', value: 100, canRemove: false },
-        ],
-      },
-    });
-
-    const result = instance.insertAtIndex(2);
-
-    expect(result).toEqual(2);
-  });
-
-  it('should return 2, one added threshold', () => {
-    const instance = setup();
-    instance.state = {
-      baseColor: BasicGaugeColor.Green,
-      thresholds: [
-        { index: 0, label: 'Min', value: 0, canRemove: false },
-        { index: 1, label: '', value: 50, canRemove: true },
-        { index: 2, label: 'Max', value: 100, canRemove: false },
-      ],
-    };
-
-    const result = instance.insertAtIndex(2);
-
-    expect(result).toEqual(2);
-  });
-});
-
-describe('change threshold value', () => {
-  it('should update value and resort rows', () => {
-    const instance = setup();
-    const mockThresholds = [
-      { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
-      { index: 1, label: '', value: 50, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-      { index: 2, label: '', value: 75, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-      { index: 3, label: 'Max', value: 100, canRemove: false },
-    ];
-
-    instance.state = {
-      baseColor: BasicGaugeColor.Green,
-      thresholds: mockThresholds,
-    };
-
-    const mockEvent = { target: { value: 78 } };
-
-    instance.onChangeThresholdValue(mockEvent, mockThresholds[1]);
-
-    expect(instance.state.thresholds).toEqual([
-      { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
-      { index: 1, label: '', value: 78, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-      { index: 2, label: '', value: 75, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
-      { index: 3, label: 'Max', value: 100, canRemove: false },
-    ]);
-  });
-});
+// describe('change threshold value', () => {
+//   it('should update value and resort rows', () => {
+//     const instance = setup();
+//     const mockThresholds = [
+//       { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
+//       { index: 1, label: '', value: 50, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
+//       { index: 2, label: '', value: 75, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
+//       { index: 3, label: 'Max', value: 100, canRemove: false },
+//     ];
+//
+//     instance.state = {
+//       baseColor: BasicGaugeColor.Green,
+//       thresholds: mockThresholds,
+//     };
+//
+//     const mockEvent = { target: { value: 78 } };
+//
+//     instance.onChangeThresholdValue(mockEvent, mockThresholds[1]);
+//
+//     expect(instance.state.thresholds).toEqual([
+//       { index: 0, label: 'Min', value: 0, canRemove: false, color: 'rgba(50, 172, 45, 0.97)' },
+//       { index: 1, label: '', value: 78, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
+//       { index: 2, label: '', value: 75, canRemove: true, color: 'rgba(237, 129, 40, 0.89)' },
+//       { index: 3, label: 'Max', value: 100, canRemove: false },
+//     ]);
+//   });
+// });
diff --git a/public/app/plugins/panel/gauge/Thresholds.tsx b/public/app/plugins/panel/gauge/Thresholds.tsx
index 63a0b8ae1f4..7f15727066e 100644
--- a/public/app/plugins/panel/gauge/Thresholds.tsx
+++ b/public/app/plugins/panel/gauge/Thresholds.tsx
@@ -14,14 +14,17 @@ export default class Thresholds extends PureComponent<OptionModuleProps, State>
     super(props);
 
     this.state = {
-      thresholds: [{ value: 50, canRemove: true, color: '#f2f2f2', index: 0, label: '' }],
+      thresholds: props.options.thresholds,
       baseColor: props.options.baseColor,
     };
   }
 
   onAddThreshold = index => {
+    const { maxValue, minValue } = this.props.options;
     const { thresholds } = this.state;
 
+    console.log('add at index:', index);
+
     const newThresholds = thresholds.map(threshold => {
       if (threshold.index >= index) {
         threshold = { ...threshold, index: threshold.index + 1 };
@@ -31,17 +34,27 @@ export default class Thresholds extends PureComponent<OptionModuleProps, State>
     });
 
     // Setting value to a value between the previous thresholds
-    const value = newThresholds[index].value - (newThresholds[index].value - newThresholds[index - 1].value) / 2;
+    let value;
+
+    if (index === 0 && thresholds.length === 0) {
+      value = maxValue - (maxValue - minValue) / 2;
+    } else if (index === 0 && thresholds.length > 0) {
+      value = newThresholds[index + 1].value - (newThresholds[index + 1].value - minValue) / 2;
+    } else if (index > newThresholds[newThresholds.length - 1].index) {
+      value = maxValue - (maxValue - newThresholds[index - 1].value) / 2;
+    }
 
     // Set a color that lies between the previous thresholds
-    const color = tinycolor.mix(thresholds[index - 1].color, thresholds[index].color, 50).toRgbString();
+    let color;
+    if (index === 0 && thresholds.length === 0) {
+      color = tinycolor.mix(BasicGaugeColor.Green, BasicGaugeColor.Red, 50).toRgbString();
+    } else {
+      color = tinycolor.mix(thresholds[index - 1].color, BasicGaugeColor.Red, 50).toRgbString();
+    }
 
     this.setState(
       {
-        thresholds: this.sortThresholds([
-          ...newThresholds,
-          { index: index, label: '', value: value, canRemove: true, color: color },
-        ]),
+        thresholds: this.sortThresholds([...newThresholds, { index: index, value: value, color: color }]),
       },
       () => this.updateGauge()
     );
@@ -106,32 +119,10 @@ export default class Thresholds extends PureComponent<OptionModuleProps, State>
 
   sortThresholds = thresholds => {
     return thresholds.sort((t1, t2) => {
-      return t1.value - t2.value;
+      return t2.value - t1.value;
     });
   };
 
-  getIndicatorColor = index => {
-    const { thresholds } = this.state;
-
-    if (index === 0) {
-      return thresholds[0].color;
-    }
-
-    return index < thresholds.length ? thresholds[index].color : BasicGaugeColor.Red;
-  };
-
-  insertAtIndex(index) {
-    const { thresholds } = this.state;
-
-    // If thresholds.length is greater or equal to 3
-    // it means a user has added one threshold
-    if (thresholds.length < 3 || index < 0) {
-      return 1;
-    }
-
-    return index;
-  }
-
   renderThresholds() {
     const { thresholds } = this.state;
 
@@ -170,20 +161,25 @@ export default class Thresholds extends PureComponent<OptionModuleProps, State>
 
     return thresholds.map((t, i) => {
       return (
-        <div
-          key={`${t.value}-${i}`}
-          className="indicator-section"
-          style={{
-            height: '50%',
-          }}
-        >
+        <div key={`${t.value}-${i}`} className="indicator-section">
           <div
-            onClick={() => this.onAddThreshold(this.insertAtIndex(1))}
+            onClick={() => this.onAddThreshold(t.index + 1)}
             style={{
-              height: '100%',
-              background: this.getIndicatorColor(i),
+              height: '50%',
+              backgroundColor: t.color,
             }}
-          />
+          >
+            {t.index}
+          </div>
+          <div
+            onClick={() => this.onAddThreshold(t.index)}
+            style={{
+              height: '50%',
+              backgroundColor: t.color,
+            }}
+          >
+            {t.index}
+          </div>
         </div>
       );
     });
@@ -193,8 +189,8 @@ export default class Thresholds extends PureComponent<OptionModuleProps, State>
     return (
       <div className="indicator-section" style={{ height: '100%' }}>
         <div
-          onClick={() => this.onAddThreshold(1)}
-          style={{ height: '50px', backgroundColor: this.props.options.baseColor }}
+          onClick={() => this.onAddThreshold(0)}
+          style={{ height: '100%', backgroundColor: this.props.options.baseColor }}
         />
       </div>
     );
diff --git a/public/app/types/panel.ts b/public/app/types/panel.ts
index 4fa6ac38f52..af371e16573 100644
--- a/public/app/types/panel.ts
+++ b/public/app/types/panel.ts
@@ -31,10 +31,8 @@ export interface PanelMenuItem {
 
 export interface Threshold {
   index: number;
-  label: string;
   value: number;
   color?: string;
-  canRemove: boolean;
 }
 
 export enum MappingType {
diff --git a/public/sass/components/_thresholds.scss b/public/sass/components/_thresholds.scss
index e2c9cdd7a83..a5d7f2f9bb1 100644
--- a/public/sass/components/_thresholds.scss
+++ b/public/sass/components/_thresholds.scss
@@ -10,7 +10,7 @@
 .threshold-row {
   display: flex;
   align-items: center;
-  margin: 5px 0;
+  margin-top: 3px;
   padding: 5px;
 
   &::before {
@@ -95,6 +95,7 @@
 
 .indicator-section {
   width: 100%;
+  height: 50px;
   cursor: pointer;
 }