If its a circular indentation the V11 Automatic > Solid of revolution is worth a look (any 2D cross section > 3D spiral cut). For a 3D STL I would use a 0 margin and a waterline path for both roughing and finishing.
Oh, now I think I understand the problem. You don’t want the blue thingy to be the object but a hole?
Then just create a round object in the design software of your choice, import your shape and make a substract. Should work with any of the programs. Then you have your indentation as the 3D shape.
The way you are doing it now you are trying to get Estlcam to read a positive as a negative space I guess.
I got it to work! @Wittiko was right. I also needed 0 margin. The carve still made a small “brim” that left some slight marks, but raising z 0.1mm circumvented the issue. Thanks a lot!