This is by no means the end all be all about how to detail your paint. There are 289 company's out there selling detail stuff, I like Meguiar's! It works for me, I started using it on my tricycle when Dad wasn't looking, It's all I have ever used.
Probably the best place to get your supplies is at www.auto detailing solutions, Rick Meyer is a guru, and the prices are about as good as it gets...
What follows here was mostly stolen from the Meguiars online forum, It's just a whole lot easier to copy and paste than it is to sit here and type for the next 3 hours...
Products Used
Smooth Surface Clay Kit
G-100a Orbital buffer
1 each W-7006 SOFTBUFF - Cutting Pad (For use with the the X4003 Gold Class Clear Microfiber Bonnets)
2 each W-8006 Soft Buff - Foam Polishing Pads (For use applying cleaner/polishes)
2 each W-9006 SOFTBUFF - Finishing Pad (For use applying NXT Tech Wax)
#83 Dual Action Cleaner Polish
#80 Speed Glaze
Meguiar's NXT Generation Tech Wax or similar
Supreme Shine Microfiber towels
These are the two main buffer pads you will be using, having more than two in your detail bag might be smart.
ALWAYS use a new or clean pad for different products
2 each W-8006 Soft Buff - Foam Polishing Pads (For use applying cleaner/polishes)
2 each W-9006 SOFTBUFF - Finishing Pad (For use applying NXT Tech Wax)
Auto Detailing Solutions has some great kits already put together for you.
auto detailing solutions Specials, I would suggest the minimum package of #2 or higher...
Of course you can find the buffers on ebay for less, and then buy the pads and other products separate if you want.
So let's get started...
First wash the car thoroughly. Pay special attention to loosening and removing any dirt particles from cracks and crevices to prevent these dirt particles from being introduced onto the surface during the polishing process. After washing and drying, inspect the surface both visually for below surface defects and with the palm of your clean hand for above surface defects.
If you feel any tiny little bumps still attached to the finish after washing, proceed to clay the paint to safely remove these contaminants.
How to Clay...
Use a Quik Detailer as a lubricant while claying a vehicle. Quik Detailer contains lubricating agents that safely enable the clay bar to glide across the surface of your paint, removing bonding contaminants with the least elbow grease. Spray an area with the detailer, then flatten out a palm sized piece of clay. rub it across the paint using the detailer to keep it gliding smooth. After claying each panel, wipe the panel down with a quick detailer to remove any residue and move on to the next section...
Next you may want to use some blue painters tape to cover any trim that you want to protect from splatter, it will save you some time later, and help you to keep your trim looking nice.
Using M83 Dual Action Cleaner Polish to Remove Serious Below Surface Defects such as deep swirls, scratches and etchings in the paint
This step would be for car finishes that have been neglected and/or abused. In most cases you would want to first do a Test Spot using M80 Speed Glaze and then check your results. If M80 Speed Glazes wasn't aggressive enough then you would try something more aggressive and this would be Meguiar's M83 Dual Action Cleaner Polish.
Applying #83 Dual Action Cleaner/Polish with the G-100
W-8006 Soft Buff pad
Speed Setting - 5.0
Arm Speed - Slow Arm Speed
Pressure - 15 to 20 pounds of pressure on the head of the polisher
Work Area - Work a small area at a time, about 1 foot square
Overlapping motions - Overlap each pass by 50%, move the polisher using different patterns
Time - Work the product until the diminishing abrasives have broken down, but you haven't gone completely to a dry buff.
Amount of product - Don't overuse product, use enough to lay down a film in the area you are working
When using the G100 Dual Action Polisher to remove defects, (This is different then merely applying a polish or a wax because you're trying to remove paint), you need to use a slow arm speed, overlap you passes by 50% and apply between 15 pounds and 20 pounds of pressure onto the head of the polisher.
Move the polisher in different directions
You also want to go in at least two different directions, for example, from where you're standing, side to side, then front to back. You can also move the polisher in a kitty/corner fashion for complete, thorough and uniform cleaning action.
Only work a small area at a time
This will vary according to the shape, curve or body line of the panel you are polishing but for example on a large flat panel, you want to stay around a 12" to 18" squared area. The point being, don't try to work to large of an area all at once or you won't remove the defects equally everywhere.
Overlap your sections
When you move on to a new section, overlap into the old section for a uniform end results.
If you're applying a pure polish, or a polish/wax or a pure wax, then you can polish larger areas at a time, use a faster arm speed, use less pressure and make fewer passes because when applying these types of products you're not trying to remove paint, merely do a good job of working the product in and leaving behind a thin even coating.
This does not apply when using a cleaner/wax like ColorX on neglected paint because in this situation you're again trying to remove paint.
The point of the cleaning step is to remove the defects. Because the G100's polishing action is gentle and therefore safe, it takes time to remove small particles of paint in an effort to remove a defect, so concentrate hard at doing your best work when doing the cleaning step, don't skimp out during the step and try to rush it, your results will reflect that you didn't do a good job the first time.
Using M83 Dual Action Cleaner Polish to remove light or shallow below surface defects such as deep swirls, scratches and etchings in the paint
This step would be for car finishes that have are in pretty good shape except of light/shallow swirls, scratches and etchings.
In most cases you would want to first do a Test Spot using M80 Speed Glaze and then check your results. If M80 Speed Glazes wasn't aggressive enough then you would try something more aggressive and this would be Meguiar's M83 Dual Action Cleaner Polish. Another option would be to apply a second application of M80 Speed Glaze and work it really well and check to see if this removed the defects instead of switching to the M83.
Applying M80 Speed Glaze is also excellent for re-polishing show cars to bring them back up to show car status. M80 Speed Glaze perfectly prepares any paint for application of your choice of wax.
Applying #80 Speed Glaze with the G-100
W-8006 Soft Buff pad
Speed Setting - 4.5 to 5.0
Arm Speed - Medium Arm Speed
Pressure - 15 to 20 pounds of pressure on the head of the polisher
Work Area - Work a small area at a time, about 1 foot square
Time - Work the product until the diminishing abrasives have broken down, but you haven't gone completely to a dry buff.
Amount of product - Don't overuse product, use enough to lay down a film in the area you are working. Speed Glaze is rich in polishing oils a little bit goes a long ways
When attempting to remove light swirls and scratches from your car's finish, use between 15 and 20 pounds of pressure to the head of the polisher. After polishing at these more aggressive pressures, you can always lighten up and make a few cover-passes at 10 to 15 pounds of pressure.
For very light polishing, you need only apply between 10 and 15 pounds of pressure to the head of the polisher. For a little more aggressive cleaning action with the M80 Speed Glaze, increase your pressure to the 18, 19 and 20 pound range.
If you decide to re-polish any panels with a second application of the M80 Speed Glaze, be sure to first remove any leftover residue first before applying fresh product. This will insure the remaining residue will not adulterate or dilute the fresh product for best results.
After you've cleaned and polished your car's paint with either one-step process, (M80 Speed Glaze), or a two step process, (M83 Dual Action Cleaner Polish followed by M80 Speed Glaze), and have wiped off any and all residue left on the finish, you are now ready to apply your favorite wax.
In the below outline, we list Meguiar's NXT Generation Tech Wax; you can however use any wax you like for this step.
Applying NXT Tech Wax with the G-100
W-9006 SOFTBUFF pad
Speed Setting - 3.0 to 4.0
Arm Speed - Medium Arm Speed
Pressure - 5 to 10 pounds of pressure on the head of the polisher. You want to lightly engage the foam pad with the surface, not just float over it. This means using a few more pounds of pressure than just the weight of the machine resting on the surface.
Work Area - You can work a much larger area when apply a wax if you have already previously cleaned and polished the finish with a cleaning and polishing step like those outlined above. For example you can apply wax to one half of the hood and then walk to the other side of the car and apply to the other half of the hood and continue to apply your wax like this as you work around the car. Apply wax to the entire car and then stop and wait for the wax to dry until it swipes clear.
Time - Work the product long enough to make 2 to 3 passes over each square inch of the finish then move on to a new section.
Amount of product - Don't overuse product, use enough to lay down a film in the area you are working. Thin coats are just as effective as thick coats plus they remove easier and use less product.
5 to 6 pounds of pressure for applying a wax after a dedicated cleaning and polish step, 9 to 11 pounds of pressure for applying a wax if you need a little cleaning power when you're applying the wax
Removing the dried wax by hand or machine
After allowing the coating of wax to dry until it swipes clear, you are now ready to remove the wax by hand using a premium quality microfiber polishing cloth or a 100% cotton terry cloth towel. If you like however, you can also use your dual action polisher to remove the wax by using a microfiber bonnet over a clean dry pad.
Removing Polish or Wax with an Ultimate Bonnet on the G-100
W-7006 SOFTBUFF pad (Cutting Pad with a Microfiber Bonnet placed over it)
Speed Setting - 4.0 to 5.0
Arm Speed - Medium Arm Speed
Pressure - 15 to 20 pounds of pressure on the head of the polisher.
Work Area - You can work panel by panel, for example, remove the wax from one half of the hood and then walk to the other side of the car and remove the wax from the other half of the hood. Repeat this to the entire car until all of the wax has been removed.
At this point you can call it quits or apply a second coat of wax.
I hope this helps, feel free to post your questions.
Boy was I wrong! I clayed the car this morning and could not believe the difference. I rubbed my hand over the finish and felt like glass. 
Next thing is to do a polish job and a coat of wax.