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I noticed there was a very fine line... very small adjustments near that 'sweet spot', then thread locker or teflon tape to keep it there.
Just keep trying with very small adjustments. You should be able to get most/all of the blade play out and still have a flickable knife.
You did put the washers back in didn't you? Taking it apart and then reassembling should not change how loose the blade is, unless you forgot to put something back in or when putting it back together, you may have misaligned something.
I would disassemble it again paying attention to everything you take off. Clean all parts, reoil, and reassemble. Was there a reason you did not put the back screw in? Sometimes it is a simple misalignment and redoing it will fix it up. If it was tight before you took it down it should not become that loose unless it is not aligned correctly. Good luck on it!
Interesting. I have the same knife took it all apart and put it back together with no problems. What does "the blade requires 2 hands before it gets to that point" mean? As for the teflon tape i find that wrapping the pivot screw about 3-4x around does the job.