Hi,
This could be seborrhoeic dermatitis. It is a skin disorder affecting the
scalp, face, and trunk causing scaly, flaky,
itchy, red skin. It particularly affects the sebum-gland rich areas of skin.
Side effects to inflammation may include temporary hair loss. If severe outbreaks are untreated for extended intervals, permanent hair loss may result, because of damage to hair follicles.
http://en.wikipedia.