troubled
This can be tricky because if you respond in the wrong way they can start to see sex as a bad thing and that can affect them negatively for the rest of their lives. They shouldn't be punished for imitating a learned behavior because that's what children do.
Regardless of their age, they have obviously been exposed to sex so they should at this point be properly schooled on what sex is in an appropriate manner for their age. I would also try to learn exactly where they learned this behavior, again, without making them feel guilty or as though they were doing something wrong. It's possible they learned it from movies, but it's also possible they learned it somewhere else... so for your sake and theirs find out.
To give you an example of how I handled a situation sort of like this once: I was a nanny for a little girl who was 4 at the time. She learned that if she played with her privates it gave her a good feeling and believe it or not she actually had orgasms. The problem with it was that she had a tendency to do it right in front of her older brothers and in the open where anyone could see her.
I spoke to her dad about it and he preferred that I handled it (because she didn't have a mother figure at the time and he didn't want to upset her). So I told her that what she was doing wasn't wrong, but it was a very personal thing and that in the future she should do it in her room or in the bathroom. To tell her she couldn't do it at all would have made her feel as though she was doing something wrong (and although I know a lot of people will disagree with this), she wasn't doing anything wrong at all.
Obviously telling your kids to do this privately wouldn't be a good idea, but maybe explain to them that what they are imitating is something two grown people who are in love would do. Let them know that their curiosity is okay, and that you'll answer whatever questions they have, but it's not a behavior that is appropriate for a brother and a sister to take part in.
Once you have explained it to them and satisfied their curiosity (because afterall they are just trying to figure out what it's all about) the behavior should stop on its own. If it doesn't then consider getting outside help with a professional who can better explain to them what they are experiencing.
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