Paul is a bit of an expert at this, but I'll try and explain how he does it.
Basically I think what you're after is a nice standard finish, so generally a bit of aggression with some wet & dry is called for to take out any nicks or dents. Done wet of course to keep the paper from clogging.
Once the marks are out, progress to finer paper. Once you're down to about #600 try then to only go around the fork lower, not up and down it. Do this until any and all 'up & down' marks have been removed.
Wash and dry the lower, and then grab a new new green Scotchbrite.
Now hold the Scotchie around the fork lower with a firm grip and rotate, repeat repeat repeat up the lower until it's done. Go round only, not up and down.
This should give a very even, dull~satin brushed finish. Soaking the scotchie in WD40 gives a lightly brighter finish. If that's still not enough there are several grades available for the finish you need.
Wash it all again in hot soapy water.
If you want you could clearcoat it to preserve the finish, or just give it a quick rub-a-dub next time it needs it.
Oh, and finger prints show up very well on the scotchbrite finish so don't be grabbing at them with dirty digits!
It was much quicker to write this than do the job. Don't be impatient, you'll get there in the end.