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I'll probably replace the oil, as it's been in for years, riding in slop (it's an MTB). Or can I get away with just getting rid of the air?
I took the old, worn pads out and then pulled the brake lever to push the pistons out to clean them. A little oil came out around one piston. When I try to push the pistons back in, they always pop back out a little bit which means there's not enough clearance for new pads. I assume there's air in the line now due to pushing the pistons too far out, as well as the oil being dirty and there not being enough of it after the little leak. I hope I haven't broken the bladder or reservoir or whatever it's called by pushing too hard on the pistons trying to force them back in.
Are bleeding the air out or replacing the fluid?
Look up how to do a reverse bleed, basically you push fluid up for the brake caliper till clean fluid comes out the top.
https://youtu.be/4KCjs21lyQ8?si=wq-w2FD9Nf75T5X9