A guide coat is a contrasting color that is lightly applied over your primer. You can use an aerosol canned primer, or 3M makes a graphite powder that is rubbed on light colored primers. The idea is that when you sand, the color of the guide coat will remain in the low spots. This makes it really easy to either build up the lows, or knock down the highs to achieve perfection.
Just remember, the guide coat doesn't need to be thick, there just needs to be enough to be visisble.