I have a blood red colored spot in the center of my chest, two inches above my nipples about 3/8 of an inch round the area itches

This . This could be a cherry angioma, irritated nevus, psoriatic patch, etc. There are multiple possibilities. The only way to be sure is to have it checked out by your doctor or dermatologist. You may even need a biopsy if the doctor deems it necessary. If the itching bothers you try over the counter Hydrocortisone cream or Benadryl (diphenhydramine) as directed. Best of luck.