Yep, Doable. Dual finishes often look nifty also... say mirrored hollow grind area, and brushed flat areas. Some ideas from an amateur:
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The right way is to buy a buffing wheel and some buffing compound for your bench grinder. Knife maker's supply houses are where, among others. Sheffield is one, Koval another. And:
http://www.texasknife.com/store/s-pages/TKS_MainframeStore.htm
Buffers are widely considered the most dangerous piece of equipment in a knifemaker's shop. A high RPM cotton muslin/loose wheel can grab a blade and stick it all the way into your eye socket if you are careless and unlucky. Knives can bounce off the floor, bounce back up and nail you there is so much energy involved. Deep slicing cuts and nerve damage from such accidents are one thing, deep puncture wounds could leave you with a spouting artery, and you may not make it to the hospital. Hold tight, pay close attention, or even use something to hold like visegrips. Wear safety glasses. Seriously.
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Suitably cautioned, you may now opt for the sandpaper route and get fairly close to a mirror finish. Buy yourself an assortment of wet-or-dry autobody sandpaper from say Pep Boys or NAPA, etc. Start at 400 grit if you want to see how a "brushed" or "Satin" finish looks (going to a harsher grit can leave some deep scratches that are a pain to get out..320 might be ok, 240 is too rough IMO). Push the paper in very straight lines. Or, if you know you want mirror, go straight to 600 grit. Get the whole blade suitably finished in 600 grit, then move on to 800 or 1000 grit, then 1500 and 2000 should get you close to a mirror finish. Emory paper is probably 2000 grit range, maybe finer. Then you can finish off with Flitz or, what I prefer slightly, Simichrome polish.
Oh, you might want to dull the edge suitably (dirt works quickly, so does sandpaper) or risk a good slice while using sandpaper. Yeah, you can tape the edge, but you'll have to work your way down to that edge eventually with sandpaper.
If you go the sandpaper route, one big caution: get some tongue depressors (medical supply store, yellow pages, non-sterile box is cheap) or some other kind of small flat stick and be careful to stay flat on each flat surface. I haven't found an off-the-shelf sanding block that works for knives yet...they tend to be pretty wide. You could make your own and use spray glue adhesive to attach the paper.
If you don't keep the paper flat as you push, you'll very quickly round off the grind lines....i.e. the transition from the flat to the hollow ground or flat ground portion. And that is the true mark of an amateur, or as they call the home-gun-smiths, Gun Butchers.
Go slow. Plan to spend 2 hours since you haven't done it before. You can't back up if you remove too much metal from a formerly sharp, crisp edge.
Better still, here's an interesting read that covers a bunch of practical angles of knife making, including finishing, from an old pro, Bob Engnath, now deceased:
http://www.engnath.com/BladesNStuff.html
Oh, and whatever you do, especially if you are starting from Black T coated blade, do NOT use a wire wheel attachment for a grinder or Dremel. You'll pit the blade, irretrievably. I bought a knife from one bozo who was obviously unencumbered by thought, who had done this... I got my money back luckily.
[This message has been edited by rdangerer (edited 04-07-2001).]