It is well publicized that the existence of various endocrine disrupting chemicals threatens normal sexual development of many sedentary marine fishes in the coastal areas. However, a suitable marine fish species for efficient monitoring of this threatening has yet to be identified. One of the difficulties in estimating the effect of endocrine disruption in marine fish is the absence of clear distinction between testicular and ovarian structures at the early stages of sex differentiation. In search of a potential test species, we have investigated the microscopic structures of sexually undifferentiated and differentiated gonads and the susceptibility of gonadal differentiation to exogenous sex steroids during the sex differentiation period in a sedentary marine rockfish, Sebastes schlegeli. Male gonads in this species contained dark pigmentation that made them distinct from female gonads. Treatment either with $estradiol-17;{eta}(E_2)$ or $17;{alpha}-methyltestosterone$ (MT) significantly altered the sex ratios with the complete sex changes or the occurrence of ovotestis that was easily identified by the mixed structure of dimorphic gonads (coexistence of ovarian cavity/primary oocytes and dark pigmentation/seminiferous tubules). Results in this study suggest that S. schlegeli can be developed as a monitoring/test fish species for endocrine disruption in marine fish in the coastal areas.