people who start playing MMORPGs and haven't figured out that they rob them of their lives
Nerd: Dude this new game, Tibia, is 1337!
Man: Dude, you're a total level seven...
A phrase referring to the numbered levels of how fundamentally wrong a given act, person, place, item etc is. One being the lowest and Seven being a quite disgusting/horrible thing.
A man slaps a small child hard in the face. This would be a
One, or perhaps a Two at most.
The act of monging for example would fare much higher on the scale. At Level Six or Seven. From these examples you can ascertain the Range that the Seven Levels of Wrong cover.