When replacing front brake pads. Can I compress the fluid back in to the system or should I open bleeder screw and compress fluid out? Does it damage anything by leaving the bleeder closed and forcing the caliper piston in?

 

You can do it either way.i simply use a c clamp to push the caliper piston back enough to slide it over the pads and rotor. Clean and lube the slider pins.
watch that there is to much brake fluid in the reservoir use a turkey baster to remove the extra. And don’t put the baster back in the kitchen drawer!!lol

 

Never "top off" the brake fluid; that is your visual brake wear indicator.

 

The car’s 17 years old. Past due for new brake fluid, prolly.