What is the right course of action now?

You chose the correct answer: you should carefully cross the junction. In situations where a police officer is directing traffic, their signals always override traffic lights and road signs. Here, the officer’s hand gesture allows traffic from your direction to proceed, even though there is a yield sign and a red light visible. Always follow the directions given by the police officer in traffic control scenarios, and cross only when the officer allows it, proceeding with caution. This rule ensures that traffic flows safely and efficiently, especially at complex intersections.