I agree with the persons saying that the Dragon Armour looks hideous, because it really does... I'd rather have lower defense than have my characters wear something stupid like that lol. I stick to the "normal" clothing. (And really?? +90% damage reduction when barrier is active.............How special.. not...)
I never found any Dragon Armor. To be frank, the game is much too easy to spend time hunting for rare equipment and such. I didn't even have to learn most of the elements of the battle system until the Kraken boss. The final boss is a challenge, but why hunt up special equipment that you're only really going to use in one fight?