The most common and most likely answer to this crossword clue is the 10 letter word SPACED-OUT
I've seen this crossword clue in Financial Times
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More clues leading to the result SPACED-OUT
Buddy explains!
The straight part
We know that "in a dazed state" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case in a dazed state = spaced-out.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does SPACED-OUT mean?
SPACED-OUT adjective- Confused, stupefied or disoriented through the action of a narcotic drug (or as if so intoxicated)