How to modify Parent Item under Menu Settings to display current language links only?
I am not sure about settings, but I can suggest you way to do it programmatically. 

You can use TEMPLATE_preprocess_menu_tree (replace TEMPLATE with your theme name) in your template.php of theme folder. Inside the function you can loop through the tree &amp; validate it's translation with current site language &amp; reset or set access deny if it doesn't match.