Good video that goes over the basics. Few comments:
1) it's perfectly fine to use a sponge. I use the Uber sponge from Detailers Domain and it's fantastic.
2) be sure to remove the tags form your microfibers. I see that you still have your tags on yours, and those aren't exactly soft
3) in your rinse bucket, you need a grit guard. Without the grid guard, the dirt particles don't sink to the bottom, which means you'll pick them right back up again
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