Life is a dream just as dreams are life. In our dreams, thoughts and feelings drift through our minds and we create context, stories, to go with the feelings. In our sleeping minds there is no limit to our ability to create contexts. That is why we can fly and visit with dead relatives without it seeming strange.
We do the same in our waking lives, only the stories we tell ourselves have strict limits. We still have various thoughts and feelings running through our minds, and we tell ourselves stories to explain those notions. When we are anxious, we tell ourselves scary stories. When we are happy, we tell ourselves soothing stories. We like to imagine that our life situation drives our stories, but we may suspect that it is the other way around. When we experience how this works, we awaken.