it depends
hopefully, this thread will provide the info you need.
not clear what you're trading but the trades could fall under section 988 (ordinary) or section 1256 (capital) depending on the choices you make and where and how traded.
https://www.thetaxadviser.com/issues/2009/nov/treatmentofforeigncurrencyoptiongains.html
notice the requirements to have a qualifying section 988 {IRC sec 988(a)(1)(B)} transaction treated, at your option, as a 1256 transaction. 1256 transactions get treated as 60% long-term capital and 40% short-term capital
1256 gets entered under contracts and straddles form 6781 .
