FXE is the Euro ETF. It's an exchange-traded fund by Rydex that tracks the Euro against other major currencies. Type FXE into your favorite stock quote system and you will see the current (or last) market price.
FXE was introduced in 2005. While each share has a net asset value (NAV) which represents the worth of the securities owned by the fund, the shares trade on the New York Stock Exchange just like stocks: when there are more buyers, the price is bid up. Conversely, when the price moves down it is because there are more sellers.
Options are available - you can buy and sell both put and call options on the FXE. Assuming you use a margin account, you can muster some substantial investment leverage with these options contracts. Keep in mind that leverage works both ways; if the market moves against you, the leverage can quickly wipe out your position or create a call for more funds.
Leveraged Euro ETFs
Certain ETFs are leveraged, meaning they are more volatile than the price of the Euro itself. If you are bullish on the value of the Euro, you might consider investing in ULE the Ultra Euro ETF by ProShares. This leveraged euro ETF trades 200% of the price movement in the underlying Euro/USD exchange rate. If the currency goes up 3 per cent versus the dollar, ULE should go up 6 per cent.
Read about the exciting history of the euro. You might also want to read about investing in Euro, Yen, and Dollar ETFs.
What an achievement it has been, for ten years now the Euro has bound together the economies of Europe and forged a stable meta-currency for the region.