Pulsing xenia dying?

I bought this pulsing xenia coral frag yesterday,2/15 and acclimated it slowly.This morning I noticed a hole and moved it to an area of low flow....The hole is huge now and has yellow stuff coming out of it??!! Is it dying?? Throw it out?? Tank params are - 0 amm , 0 trites , 30 trates [ seahorse tank , always trates] ph 8.2 temp 74-75, ph is 500gph in a 60g hex....bad pic , but best I could do

 
My xenia loves a lot of light. Im not sure how big your tank is, but my xenia has moved all the way to the top of my tank and is in a medium to high flow area. You might want to move your frag up higher, not on the bottom.
 
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