Floating switch effect?

A new piece of hardware just arrived and I hope this forum will be a good choice for learning about it. It's a Backyard Brains EEG shield for Arduino Uno.
A stand-alone version of the device is available, but with the Uno I can modify the standard code -or write my own. The shield has familiar header pins and the circuit is easy to see and understand.
I plugged it in, uploaded the bundled code, and it lights up. The problem is, it seems to be too sensitive. I emailed a question to the manufacturer about how to modify the variables in the sketch -but customer service doesn't work weekends.
Anyway, while that can wait for that, what I want to know is if I am observing a floating switch (or state) effect. I uploaded a short video of it (link below).
Notice I am using pennies for what will be skin electrodes. I first tap one of the pulse contacts, then the other, then the ground. Finally, I make contact with both pulse electrodes.

Incidentally, they will be attached with Band-aids when I start my physical experiments. This is a non-clinical application, and very cost-effective.
In the video, power source is laptop USB port, with charger unplugged from the AC. I already searched Forum posts, and the issue of electrical shock comes up frequently. Just so you know I am aware, and a serious hacker, not an idiot.
There are very few mentions of the Backyard Brains device in the post archives. It's a cool device. I expect to learn a few things about electronics that I wouldn't learn otherwise.