If you are wondering why there's a bloodbath in some of the best known junior gold mining names this morning, one of the largest gold stock newsletters in Germany decided to sell everything.

Oliver Gross's Der Rohstoff-Anleger letter is out of the gold market at the urging of his publisher.

oliver

Oliver

We are not sure exactly what is in the portfolio, but as of June 2014 Continental Gold (CNL.TO), Wildcat Silver (WS.TO), Pilot Gold (PLG.TSXV), Dalradian Resources (DNA.TSXV), Red Eagle Mining (RD.TSXV), Timmins Gold (TMM.TO), Columbus Gold (CGT.TO), and Sandspring Resources (SSP.TO) were covered in the letter. We also believe that Pure Gold Mining (PGM.TSXV) was on the list too.

Depending on your liquidity, this could be good news or bad news for investors. I will be picking away at a few of the names.

Do not expect this to be the end of Mr. Gross in the gold business. At just 25 years old, he's one of the brightest and hardest working up and comers in the gold space. In fact he did a Gold Report interview just the other day (link).

Gross tells me by email Thursday that he intends to buy the best stocks again when a bottom is in. He is currently worried about gold falling to $1000.

Update - 4PM PST:

Comment from Oliver Gross:

The last days for precious metals miners have been just shocking. The most important gold and silver miner indices and ETFs broke their support lines and hit new multi-year lows. Just imagine that majors and multi-billion dollar companies like Yamana Gold and Goldcorp had double digits losses during the last trading session.

I had to liquidate the whole portfolio today to protect my subscribers, which is my responsibility. The market letter is owned by the publishing house and they have special risk and money management rules. The losses during the last weeks were so big for many subscribers that I was forced to react, which lead to complete, temporary liquidation of all stocks in the market letter. One of the toughest decisions in my career—to dump some of the best-in-class stocks at multi-year lows with depressed sentiment when, fundamentally, nothing has changed. But the market can be just brutal and it isn't smart to fight against all odds.

The miners are clearly anticipating that Gold will break through the crucial support at $1,180/Oz. As always, I have to deal with probabilities here. Last week I mentioned in the interview with The Gold Report that I see a 50% possibility that Gold will fall to $1,050-1,000/Oz; now the possibility is above 75%. When gold will make this panic move and fall to 1,000 bucks, it's obvious that we'll see total capitulation in the miners space, which could have started today.

Of course, I plan to buy gold miners again when the dust has settled and we see something like a bottom and a bottom-building process. At the moment, I have to deal with the potential for further blood baths as I can't see lights in the end of the tunnel yet.

You can follow Oliver on Twitter here.

Always do your own due diligence. Damn it's ugly out there...