Board Thread:Episode Discussions/@comment-1018594-20151001190939/@comment-1512913-20151002110828

Ok, let me get this straight, just to make sure I understand it... So Tsunade's dream in Infinite Tsukuyomi is a throwback to the past when she was drinking and staring at water, but Jiraiya is alive??? and leaves her his new novel on the table which she begins to read and it's essentially an altered version of events in Naruto's life, as we could see in the rest of the episode.

So essentially it's a fictional story inside an illusion, makes perfect sense I guess...