From Wikipedia: The foreign exchange options market is the deepest, largest and most liquid market for options of any kind. Most trading is over the counter (OTC) and is lightly regulated, but a fraction is traded on exchanges like the International Securities Exchange, Philadelphia Stock Exchange, or the Chicago Mercantile Exchange for options on futures contracts. I have an account with Interactive Brokers and I see that I can trade options on forex futures there, but that's not what I want. I'm interested in the simpler product, that is, vanilla options on currencies with a pre-agreed notional. Do retail trader have access to this product? For the record, I'm based in the EU.
Anyone can trade the currency options of the PHLX, not sure why you couldn't from Europe. You can also trade currency FOPs which are effectively the same thing.
You're right, I just found the PHLX option chains and I am eligible to trade them. Thanks! What are FOPs? I found a few references to it on Google but no explanation for what it stands for. Is it a futures or forwards contract?
They all start with "XD". For instance, EUR/USD options are XDE. Refer to this document for more information. And I found them on Trader Workstation.