You're doing it wrong... all your doing is removing air from the system and then sucking air back in again
watch this video this is how you do it, you need some clear flexi pipe like what you see in fish tanks. You attach that to the bleed nipple, pump the back brake half way down open the bleed nipple to let some fluid/air out of the system then close the bleed nipple and let go of the brake peddle, that way your stopping air being sucked back into the system, just dont let go of the brake pedal before closing the nipple or your back to square one! Also keep the master cylinder topped up with brake fluid dont let it run out of fluid otherwise you will just let a load of air back in again.
https://www.youtube.com/watch?v=EGEkmWX1NM0
i learnt using that video and sorted my brakes out.
Also the piston doesnt actually move that much only a little to make the pads contact the disc.
you will need some brake cleaner for the disc too to remove all that brake fluid thats gone all over it and make sure your pads dont contact the brake fluid, although, looking at that they will probably be soaked in it. Brake fluid and pads don't mix im definitely no expert but i reckon your pads will be contaminated and you may need some new ones.