What Does A Red Rash Around A Skin Cut On The Leg Indicate?

I had surgery to remove a Mole which my doctors thought may cancerous. Turned out it was not. But since surgery, I ve developed a dark red rash around cut in leg. Incision is just over an inch long. The red rash around incision is about three inches long parallel with length of incision and one inch wide. When I apply bandage to wound, the red rash area around incision produces copious amounts of clear liquid, to the point where bandage is extremely saturated. The most disturbing thing, however, is that I now have an extremely itching rash which covers most of my leg which incision was made---and this rash has spread to both legs and areas of my arms. Again, this spreading rash has an extreme itch quality to---to the point where I can t sleep. Please advise...