Auto body repair & detailing: clear coat damage, tiny pits, stone chips

Question
clear coat appears to have tiny pits in it   I first thought it was overspray but now I believe it may have been some sort of chemical damage I cant seem to get down to smooth finish i have applied compound with a foam applicator on a drill then buffed with terry and wool..( 3 applications ( 3m compound  Meguirs scratch remover ) still have the eggshell looking blemishes.... What should I try ?

Answer
There could be several causes such as improper paint application to it being stone chips.The drill with a pad attached is not going to do the job,you need to rent or purchase a buffer not an orbital polisher.Try to wetsand a small area with 1000 or 1200 grit paper.Buff with compound and see what happens.If the results are satisfactory you will have to do all the affected areas.If the finish does not improve you may be forced to repaint.