leather armor and running low on food so mostly deer meat and sometimes blueberries

Go back to your main base and make small incursions into the forest. Once you're familiar with the environment, learn how to kill trolls and get troll leather.

Once you got a full set, or even two pieces of lvl 1 troll armor, grey dwarves will be nothing but a nuisance to you.

the spot i am in is a death setence nests everywhere the very second i exit i get pummeled with rocks and poison and S L A P S

Kill the nest, get your ancient seed and save it.

there is 5 nests
... im new to this game so im not too good at it

he makes me want to have a fresh start again lol

im lokking for potential friends for valhiem so maybe we can sometime lol
?

Wait... there's FIVE nests in the direct vicinity of the Trader?

That's a... rare one. Ok, leave your hut, enter the traders force field. I assume you already have killed Eikthyr. If you have, activate Eikthyr's power and RUN LIKE HELL towards your home, which is hopefully not too close to these five nests.

You can outrun almost everything in this game, so make use of it. Even if you have not killed Eikthyr (then you should have no business in the black forest) you should be easily able to make it. Just watch your stamina.

Eat well on stamina foods before you try this. Ideally you should have at least one blueberry and one honey in you.

YES

THERE IS

Snipe the nest from distance with a bow. Take out the dwarves 1 or 2 at a time as they spawn and aggro.

You can build that battle camp right up against the forcefield of the trader camp. That at least makes that way impossible for dwarves to approach from.

Also, your could dig a protective moat they can't cross over.

One word.

Campfires

Run up and spam a few campfires around the spawn. They will blindly run into them if close enough and burn up, giving you time to take out the spawner either by melee or ranged attacks.

I usually just sneak up with axe in hand, charge the last bit, and with a couple whacks the nest is done - ignore the dwarfs -when the nest is destroyed, run and kite the dwarfs if shaman and/or brute or 2 stars, otherwise just slaughter.

the thing is they have spawned too many and i cant run since they are constantly patroling the area

Take them out one at a time, then retreat to safety. If the Greydwarves are too much of a hassle for you right now, maybe you should retreat from the Black Forest and make sure to upgrade your armor and food first before venturing in there again.

What are you eating and what is your armor?