Yellow wrasse, strange cut/infection on side.

[Timanator]

I've had this yellow or golden wrasse for a few weeks, and he was in the LFS's display tank and lived there for atleast a few month prior to me getting it.

A few days after I got it, there was a red spot on his side, and it looked like maybe he got pinched by a rock or cut. Since than that area has turned white, and now there is another area in front of it thats turning red and now and now slowly turning back to white. He is other wise normal and goes after food with full enthusiasm and moves about freely and not shy or twitching in anyway.

Is this some sort of a parasite?

Thanks.