Islamic Interpretation
Laughing in a dream means happiness and joy in wakefulness, except if one bursts with a horselaugh or falls over his back from laughing in his dream. If so, then it means crying. If one's laughter in his dream is caused by a joke, then it denotes his dishonesty. The same goes for laughing by imitation in a dream, which means falling into sin. Laughing in a dream also could mean sorrow in wakefulness. Laughing in a dream also means that one will receive news about a newborn son. If one's laughter in a dream is gentle and soft as a smile, then it denotes his good character and means happiness, or it could denote exactly what he shall see in wakefulness. If one sees the earth laughing in a dream, it means a good harvest in that land. If one sees a deceased person laughing in a dream, it means that he is in paradise and enjoying the blessings of the hereafter. Laughing in a dream also represents light-headedness, frivolity, and buoyancy. This is particularly true when it denotes capable people, or people in authority, where laughing in a dream could mean their dismissal from office. (Also see Crying, Laughter)