It is found in the central Indo- west Pacific region from Malaysia to New Guinea, north to the Philippines and Palau in Micronesia.

Nearly identical to the Black-backed Butterflyfish (C. melannotus), it differs only in the shape of the black mark on the caudal peduncle, in lacking a black mark on the chest, a lighter back, and in having an average of 14 rather than 15 pectoral fin rays.

[2] C. ocellicaudus belongs to the large subgenus Rabdophorus which might warrant recognition as a distinct genus.

These are all of oval shape, silvery with yellow fins and snout, ascending diagonal stripes, and black markings around the eyes, on the caudal peduncle, and sometimes on the back.

These fish feed on soft coral polyps (e.g. Litophyton viridis and species of the genera Clavularia, Nephthia and Sarcophyton).