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I did it with the wheel in (mostly because I was fed up taking the wheel, pad etc out by that point.) not sure if it makes any difference in reality - might just be a placebo effect.
last night when I left it, pumping the lever was not expelling any air by the end. this morning when I had a go at it again, the reservoir was basically fizzing with air when I was pumping the lever. so maybe it does work ? who knows
did you do this with wheel in or with brake block? had the same issue and put it down to needing new pads but could be this too