We replaced five noisy lifters on our '96 850 St W (non-turbo). Unfortunately the technician forgot to mark his timing marks on the cam shafts. We have no special tools for Volvo's. How do we set up cam timing?

Do you mean that he removed both cam gears from the cams and didn't mark ANYTHING (not even the cams themselves)? If so, there's absolutely no way in hell that you'll possibly guess it right w/o use of the special cam positioning tools that only a dealer would have. You can order the tools through a dealers parts department but I doubt that any dealer will lend them out.

I'd be scared, VERY scared if anyone calling themselves a technician forgot to mark anything of such obvious importance. Also, being that the lifters are cheap (like about $160 for a set of 20, newest style which I've recently priced myself), I would never consider only replacing 5 out of 20 with all that apart. I hope you have new cam seals, the correct liquid gasket (not silicon sealant btw) and the 5 large spark plug hole o-rings?
With the 2 cams correctly positioned and held in place using the Volvo special tools, the correct proceedure to re-assemble that uses yet 2 more special tools to draw the upper cam cover down until you can install all the bolts and torque them.
I'm sure someone, somewhere has done this w/o the special tools but being that I work in a dealership and have done it by the book several times, I wouldn't consider doing it any other way.

If you want to see how it's correctly done with pictures of the special tools, you can order the OEM Volvo engine overhaul manual from their literature # 800-25-volvo.

Believe me, I felt your anger. We deal in Jags, and he told me he marked the cam wheels and assumed that the cams would be notched or marked with the wheel. No such thing. I tried the route with the dealer, and as you said, nosuch luck with the tools. The car actually runs quite good when cold, but yo cna't get any rpm,s out of it when warm. Did you say that I could order the tool from the dealer?

From your initial post, I assumed that it wasn't running yet so apparently the cam timing is close, close enough to see where the cam sprocket bolts use to be as they leave marks on the sprockets as any bolt tightened does. I assume the cam timing is then very close and you do know where the sprocket marks are suppose to line up at TDC right? It must just be a few degrees off but should be easily corrected at this point as the sprocket holes are eccentric (allow some movement, adjustment).
As for special tools is needed, any dealers parts department can order any Volvo special tool. It helps if you can give them the tool PN (listed in the Volvo service manual) as they don't normally order dealer tools on a regular basis and they aren't listed in their parts system like the parts are. The tools are ordered through Kent-Moore tools, not VCNA.