Ok so just an update and recap, i jacked up the car and spun the tire, for one rotation of the tire the driveshaft spun 3.75 times, so i guess that equates to 3.73 gears.
I also checked my shifter linkage and drive is drive and everything is good there.
I took the car for a drive and still the same issue at, 3500 rpm im doing 58 mph using my phone gps and and a tom tom GPS with 28 inch tall tires which equates to 5.03 gears. so i think i narrowed it down to some type of problem with the transmission.
Also when i was driving i did see that the rpm did drop twice once from 1st to 2nd and another from 3rd to 4th. but it shifted gears very quickly, it shifted from 1st to 2nd at 2000 rpm and then again from 2nd to 3rd around 2000 rpm. and both gear changed happened within 6 seconds of each other.
So i'm not too sure why my rear end gear 3.73 but its still taching high.
One other thing. i do not have the detent cable from the trans hooked up. when i dropped the pan intially to change the fluid the first time in this used th350 it had a little spring just hanging from the detent hook that connect to the detent cable. also when the detent was hooked up it would not retract. lets say if the carb was wide open throttle and the cable was pulled out, it would not retract when i let off the throttle and the car would just stay in first gear wind all the way up in rpm and then shift really hard. so i just pushed the cable back in. Don't know if this would have any relation as to why my trans is gicing me such high rpm.