Filling nail holes and patching-drywallNow we’ll move on to patching-drywall holes and filling the nail and screw holes. I have found it to be better to run a vertical line down the wall covering a line of screws than to cover each screw individually. This helps to keep a uniform line of mud that’s easy to cover.
You can patch the nail holes with a 2-inch palette or a taping knife. Make sure the surface of the holes are even with the rest of the wall so the nail holes won't be visible. 
It’s the same for covering nail holes as it is for mudding seams, except you don’t need tape. If you can put three coats on, you won’t be able to see any nail holes through the texture or the paint.
It's not that necessary to fill nail holes by using long lines of compound. Many professionals just fill in the holes and run a light second layer over it.
The finished project should look something like this. At this point you may want to go back over a few lines and do some sanding if needed. patching-drywall top of page
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