Looks like it is air in the hydraulic lines. No bleeder valve as they want you to buy a complete system. I took the reservoir cap off and pumped the clutch, saw some air bubbles then no air bubbles. Worked fine for 3 days then today started the same thing again. Guess I`ll be buying a new pre-bled, pre-filled system.

 

Sorry about being late on this update, but the problem was a broken master cylinder. Apparently it had cracked but when I went to check it, a piece of it fell onto the floor board. Of course I had to replace the whole hydraulic system (master cylinder,slave cylinder, line and fill bottle) with a new prefilled system. All works well now. I DON`T like the fact that they are all plastic however.
Thanks for all the replys and suggestions and I hope you all have a great New Year.

 

Construk, Though I never read this thread originally, I wanted to thank you for posting an update. One of my biggest pet peeves with internet forums is people posting problems and never updating what the problem actually was.