From the 7th world of SPIRIT, gray bald ball travels into and out of spirit worlds via dreams.  He lives full time in the war torn world of xmanjaro war.  A binary world held together by computers and the remnants of aliens. He first appears to Tim in a dream and is brought to life in Tims subconcious as he gives him life by writing him into a story during his art class.  Some say Tim was taking drugs when he wrote the story.  Drugs that Tims brother gave him right before he vanished.  Tim would call it a vision.  It is uncertain if gray bald ball can read thoughts.  However it is assumed since he is very proficent at reading and influencing thoughts, due to his spirit like ability to enter into and out of many mortals during their dream state.