I have found these brakes extra sensitive to air.
I know this is a pain but take off the caliper and hang it from the ceiling above your master cylinder, coat hanger works great.Come back in an hour and do your bleed, hopefully you'll see bubbles.
Just curious, what fluid are you using?Make sure its right, don't accidently use 5.0.
Check that your front lever is fully releasing and not getting hung up on the bark busters.
If above fails clean everything. take it all apart and clean and assembly with appropriate grease.You might have gunk blocking the master or down in the caliper.
If all fails replace master cylinder piston.
Check the pads too and the seals, make sure there isn't fluid weeping from this area.
If you think this is hard ,try bleeding a new BMW with the evo brakes!
I'll bet you still have air in there, I have had lots of bikes and for some reason the KDX doesn't tolerate any air.We had the same problem and it was just a minute amount of air causing the spongy brake.
Good Luck, let us know what it was!