Allen you are correct. My rockers only showed lash when you pressed them, the rockers were touching the valve though.

David- the lifters were soaked overnight in like 15w40 or something. It was some thick rotella oil that my buddy had. We did however turn the motor over manually a few times to preload the lifters etc. Im just going to take it easy on it and order some 7.375s this weekend. Or see if i can swap my 7.4's with someone for the ones i need