I think you've already received some good advice about how to respond to the offended dancer. You might want to let him/her know that almost every night has a dance with that move, sometimes with the same gender, sometimes with a different gender. 

A Facebook group about contra had a long, complex discussion about gypsy in the past year. As with discussions there about gender specific terms, there was no consensus and some hurt feelings. 

For what it's worth, I don't emphasize the flirting aspect; I am often dancing wtih partners or neighbors >40 years younger than me (we are blessed with many high school and college students; lately middle school kids are also coming) so it's often uncomfortable when a caller does so. The phrase I use is: It's just like an allemande (right/left) only you don't touch; instead, look at the other person in a friendly way." 

Bree Kalb
Carrboro, NC

-----Original Message-----
From: Amy Wimmer via Callers
Sent: Oct 24, 2015 3:12 AM
To: callers@sharedweight.net
Subject: [Callers] Advice about "gypsy"

Hello All,

I taught a dance this evening that included a ladies' gypsy.