Simply put, ground balancing a detector as the simplest form of discrimination in that you are discriminating out the adverse effects of the ground. When you have a properly ground balanced X-70, highly mineralized sites will cause a smaller number to be displayed while in the GB mode. Inversely, higher GB numbers represent lower soil mineralization. Although I've not read anything "cast in stone" about hot ground or cold ground, over the past couple years I've been using the number 28 as my point of reference, for coil selection. If I can GB a concentric coil, with a GB number of 28 or higher, I believe my concentrics will do an effective job. However, if the ground is what you referred to as "hot", and the GB number is less than 28, I believe I get better performance with a DD coil.
In theory, if you set your ground balance to "neutralize" the effects of the soil, then your sensitivity shouldn't vary dramatically between sites. And even if it did, telling someone else where to set their sensitivity is virtually impossible. It would be like me telling you when to run with your headlights on bright, compared to how much fog neccesiates low beams. As to sensitivity on my X-Terra, I run a bit higher than others might. Most sites I hunt allow me to run with it in the upper 20's. When I am running high sensitivity, if I bump the coil into a clod, it might cause a false signal. If I raise the coil at the end of a sweep, it may false. If I get sweeping too fast and there are a lot of trash targets, it will false. Not enough to make me stop and dig a ghost. But enough to let me know I am running with as much sensitivity as I dare. I've learned to accept a fair amount of chatter, and know what makes it happen. If I start getting constant feedback from the coil other than from something I caused, then either my GB is out of whack, or I need to lower the sensitivity and slow down my hunt.
I'm not sure where you see the GB numbers bouncing around. GB numbers will not appear when you are in a hunt mode. As to tracking......if there are fewer than two or three targets per sweep, and the mineralization varies a lot, I'll use the tracking mode. However, if the soil is consistent, and the targets are close together, I will usually keep it in C/T , check it every few minutes, and make adjustments accordingly. JMHO HH Randy