What does a green arrow in a traffic signal signify?

A green arrow in a traffic signal indicates that a driver can proceed in the direction of the arrow with a clear right of way. This means that vehicles can turn or move in the direction the arrow points, while any oncoming traffic or pedestrians must yield. The green arrow serves as a signal that the maneuver can be completed safely, as the driver has the right of way.

In this context, the other choices do not accurately reflect the meaning of a green arrow. Yielding to oncoming traffic or proceeding in any direction would not apply since a green arrow specifically denotes a single direction for movement. Stopping and waiting for the light to change is also not applicable when facing a green arrow, as it means you are allowed to proceed. Therefore, the assertion that you can proceed in the direction of the arrow is the correct interpretation of the traffic signal.