Option three is the correct one. The narrator is not part of the story and only states the characters' actions and speech. If it is a third person-point of view , the narrator talks about somebody else from outside the story. If his /her point of view is objective, the narrator will probably not refer to emotional information.
The question on which point of view is being used, that is not third -person objective, it is first person. If the narrators talks to a 'you', he /she does it from his /her 'I'. It is like a conversation face-to-face.
The question on the omniscient writer is correct.
