Dreams of appearing naked in public are invariably one of the most common nightmares shared by people of all ages. These dreams tend to act as reliable measurements of your self-esteem. Within them your clothes function as a method of concealment, enabling you to hide things about yourself that you don't want others to see.
If you are comfortable being nude within your dream, you are secure about exposing your feelings and have nothing to hide. Embarrassment about nudity implies vulnerability, guilt or shame, while being oblivious to your nudity can mean a lack of self-awareness.
If you've been hiding something from others, or are afraid that people can see through a façade you've established, be prepared to have this common nudie nightmare.