What do you do when you see this traffic sign?

This traffic sign means you have priority over oncoming traffic in a narrow section of the road. However, the rule states you can only proceed and take precedence when the narrowing is clear and safe (option 1). Additionally, even though you have priority, you must still be prepared to stop if necessary (option 2), for example, if the oncoming vehicle does not yield or if the road situation requires it. Option 3 is incorrect because you do not have to give way to oncoming traffic here; they must yield to you. This rule helps manage traffic flow safely where the road narrows and only one vehicle can pass at a time.