If you're trying to replace brake pads or rotors, or work on any part of the braking system, you'll need to:
1. Release the brake caliper: This usually involves using a C-clamp or specialized brake caliper tool to compress the caliper piston. This creates the space needed to install new pads. There's no retracting involved, just compressing.
2. Bleed the brakes (possibly): After working on the brake system, especially if you've opened the brake lines, you'll need to bleed the brakes to remove any air that might have entered the system. This involves opening a bleed valve on each caliper while someone else pumps the brake pedal.
If you're having trouble with your brakes, I strongly recommend taking it to a qualified mechanic. Improperly working on your brakes can be extremely dangerous. Misunderstanding brake system components could lead to serious injury or death.