Traffolyte is a Phenolic resin core with either a solid resin cap (colours) or in your case , a brushed aluminium skin. I use tons of it , wonderful material BUT it is NOT for exterior use at all – the silver pits and the gold fades.
You HAVE to use tungsten carbide bits with it and ideally a single flute "d" bit (engraving type cutter) This stuff is highly abraisive to cutters.
Feed rates need to be quite high. It should engrave black and the reason it might be greyish is probabaly cos you are using too slow a feed rate and too high a spindle speed and this to some extent are burning the core material , the cutters MUST have large clearance angles so as to evacuate swarf big time.
You can use something like Shell Dromus – a water soluable cutting fluid when machining it (use it neat) , however dry processing is fine too.
How to get the engraving black – well thats quite easy , spray it with spray and cook , pledge or apply a furniture oil after – the oil makes the engraving real black.
The coloured version of this is an excellent media , its fire proof , scratch resistant , solvent and acid resistant etc , one problem with the material is that it becomes brittle over time. The white cored version has a problem with core discolouration too. Its easily panit filled BTW – both ally and coloured versions.