Just to clarify things, I am not driving around 100mph slamming my non-working brakes in an elementary school parking lot.
Here's the story:
1. I put the new front pads on the Xterra, with the fluid close to the middle on the resevoir, understanding that by moving the caliper pistons back I would push the fluid toward the max. (Next time I will open the bleeder at the wheel instead of sending pressure back through the system. Evidently the pressure from the c-clamp was too much for the Master cylinder to handle).
2. The fluid overflowed a little and I removed the excess fluid down to the max line.
3. I got in the car and pressed the brake to test it out. I had lost all of the pedal except the remaining 1".
4. So, with no pressure on the pedal, I thought I would try to bleed the front calipers (assuming air got in the system somehow). After many attempts on the front two calipers, I could not get fluid to come out, except residual left in the lines between the MC and the bleeder valve at the wheel.
5. I tried to bleed the front with gravity only. I opened up the two front caliper bleeder valves, with tubes submerged in brake fluid to prevent air from going into the system. I left the vehicle like this for 30 minute intervals coming back to see if fluid had drained. Nothing.
6. Now I tried to bleed the master cylinder at the master cylinder itself. Only one of the two lines were giving pressure. This was only feeding the back brakes. So I assume the Master cylinder is damaged.
So, I only have back brakes and I have ordered a Master cylinder for $75 at a junkyard ($250 at the dealer).
The reason I haven't taken it to the dealer is because they are 70 miles away, and I thought this was the "Backyard Mechanic" section.