Lyric discussion by D_Cat 

Cover art for Straight Ahead lyrics by Jimi Hendrix Experience, The

Have you heard baby verse could mean that the word on the street; there is a vibe(hippy movement) going on.

The get out of your grave verse could be. The grave is full time work or a drudgery-laden occupation. Everybody is dancing line could mean people are happy they were shown the vibe. Do what you know line is to just drop what you do now and pursue what you love.

I'd say the lyric is fake reality. That line could mean instead of living in the artificial reality of working, weekends off, paying bills, etc. etc., he is saying to free one's self from that social construct.

I could ramble but that's the gist of the tune to me. :-D