I would post this up in the 'Ask Detailers Domain' thread at the top of this forum...or just send an email to firstname.lastname@example.org. He is very good about responding to questions like this.
My take on it is that Megs products are really designed to be worked in by machine, so that is why you are seeing the leftover haze. I'm not a pro detailer by any stretch, but I think you are going to have wash the car with a detergent solution that will remove the wax. Assuming the haze lines are still there after the wash, you'll want to go at it with the polisher and some more of the 205. Then you would need to re-wax it.
As for the backing plate for your Craftsman - that's definitely a question for Phil. He will also tell you what kind of pad to use - I'm thinking probably the green if you go with the foam pad. He also just started selling some new Microfiber pads - I have no experience with these yet so not sure which would be appropriate.