First - what a beautiful car, so glad you were able to bring it to rest without further incident.
You say you have no pressure when pedal depressed yet there is no loss of fluid from the brake resevoir - that is confusing.
I say right now I have no experience of your particular model but here goes.
If you are not developing pressure and without loss of fluid I would guess your master cylinder is shot or at least one of the internal seals.
But then there is the smoke - but no loss of brake fluid - must have been something else then OR did your brakes overheat and you have 'boiled' moisture in the brake fluid leaving a compressible oil/vapour mix that has compromised hydraulic efficiency - hell I don't know - the smoke business is confusing.
In the first instance I would buy a quart or so of brake fluid and run that through the system bleeding each line in turn (For routine do a search here loads of advice). If that does not restore system pressure you are going to have to delve deeper.
After a failure like that I would want to have a good look at master cylinder and each wheel caliper/piston/cylinder arrangement.
One thing for sure - you have had a lucky escape maybe you need to pile some dough into the braking system!!
230 TE (W124) 1989 with 153,000 miles on the clock - hoping for at least another 100K