Sounds like a weird thing to say, but I don;t know how else to say it.
I made this file in visual mill and the simulation showed it working fine.

When I machined it. It Roughed in the shape fine, then when it did paralell finishing it started at one end just fine then slowely tilted the cutting down untill it got to the end and there was nothing left.

After that, I did a tool change to the pencile trace bit and it tried to cut 2 inches obove the upper Z

Can anyone look at my post file and see if they can figure out if its my machine or if its the program.

The slant is probably your machine dropping.

When you change the tool for the pencil trace, the code with G43 H1 should have a differrent # for H, which sets the length compensation for the tool. You appear to be using the same H1 for the different tools.

Ok so the lack of the correct number after H is being caused by Visual mill then?

What could cause my machine to start dropping like that? Is it a counter ballance problem maybe?

You are locky that the first tool was longer than the second, because you could get a big damage ...