Hi Aaron800,
You can try adding some extra filtering on the signal read from each electrode, in addition you can add some debounce until you have determined that a touch event has been detected, and it isn't just system noise.
The calibration of the background signal on each electrode, when not being touched, is also something that you might spend some time improving. This calibration value can be used in conjunction with a threshold to determine that a touch event has occurred. The background signal is dynamic and will change over time, so you need to figure out how often to update this value.
It may take some time and effort to characterize your touch sensor and get the performance necessary for your application. Basically you need to have a decent response time and make sure you don't get false detections for an electrode.
Thanks,
Rick