So with both rear caliper pistons fully seated I pulled on emergency brake main cable under car to set and release emergency brake around 30 plus times. ALL the slack was taken out of the driver side rear caliper. But pass side no slack was removed? So then I found pass side caliper brake hose was preventing lever from fully returning. So I loosened hose bolt, moved hose, and emergency brake lever / cable snapped right back to full release position.
After that I went ahead and pulled on main cable under car to engage / release emergency brake. Also adjusted cable. I was able to get ALL slack out of both rear calipers. Emergency brake handle in car pulls around half way out and gets very firm. Handle released emergency brakes release levers on calipers return to full release. Also, the cable equalizer under car, where main cable connects to two axle cables, is even when emergency brake are fully appied.
Without any further bleeding the brake pedal feel significantly improved. I went ahead and bled all 4 corners again, seemed to be a lot of tiny bubbles on driver side front caliper.
Brake pedal travel may have decreased a half inch or so. But pedal no longer has that spongy mushy feel. Travel is still long but the pedal has a nice feel to it now.
I think I failed to use emergency brake to fully seat both rear calipers on installation causing the mushy brake pedal.
I also recall applying 40 PSI to brake hose Tee when Dana rear was on a dolly to test for brake line leakage. Per Dr Diff you are really supposed to use emergency brake to seat rear caliper pistons before applying ANY brake line pressure and before any bleeding is performed.
So I am going to put tires wheels on car take for a test drive tomorrow report back on how well it stops.
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