Thanks for the suggestions. That is the software that was supplied. However, all of these settings have been adjusted ad nauseum without being able to take care of the problem.
When I first got the machine, all of the settings in the software were way off, with no documentation for my machine stating what they should be set at. So I experimented until I found a setting that worked, and did notice that the X and Y values were slightly different. When I asked, Redsail supplied me with the number, which matched one of the axes, but not the other. So I made them both the same number. At that point, it didn't really matter as the distortion of the circle didn't change much.
If the machine was just making nice ovals in the direction of an axis, I'd be pleased as punch. That's something that can be tweaked out. This looks more like a severe backlash problem in the Y-Axis, i.e. hardware issue.
Redsail is currently out on a Chinese holiday, but say they want to do a video conferece call when they return. I'm not sure why they think low-res, grainy video will help them solve the problem, and frankly, it seems pointless. Maybe they think I have a mouse stuck in the belt and want to help me find it....