If you are going to be doing any type of compounding you really need something more than just a random orbit machine. I have a Makita B06040 which is a random orbit but also has a forced circular mode. The circular mode still has a bit of jiggle to it so it is more forgiving than a true circular. If you are just looking for a machine to polish you cant beat the Porter Cable 7424. Neither machine is cheap. The Makita is substantially more.
Look at my restoration thread here http://www.mastercraft.com/teamtalk/...ht=restoration
for what I use. Many others here have used the same technique with great results.
This exact topic gets asked here a LOT. Do a search for tons of reading. I'll get you started.