Assuming a trader is very experienced and capable, he will trade the daily Forex market on his own. He can only use automated help when backing up, but for the most part his trade can be "flying off the seat of his pants".
All of these independent marketers will have different strategies. Some will only trade with charts, some may only negotiate with the price, and others will trade using the Daily News as indicators that dictate their game.
An extreme example of how the Daily News can affect the daily currency market is what happened on 9/11. At that fateful morning, as most Americans watched the atrocities unfold in spectacular silence and mistrust, the dollar began to fall in value. Currency traders in far-flung places saw the downturn and saw the news. As they watched in horror, many of them automatically traded the dollar with other currencies and made huge sums of money. They immediately bought the United Kingdom pound or the Japanese yen. The dollar fell to its lowest level in a few days as the dollar began to recover traders who bought far larger amounts of dollars than they had sold. In round figures a trader who had sold half a million dollars in the beginning probably ended up with a million by the time he bought dollars back.
Likewise, any bad economic news can have an impact on a currency that forces it at the expense of others, and during this time, assets can become (and be lost).
This is also the case when there is bad political news or news of a disaster. Also, natural disasters, such as earthquakes, tsunamis or severe floods, can cause currency fluctuations.
In fact, today is not a day without breaking news that can hurt the currency boats.
For starters in the Forex business don't be foolish enough to start daily Forex trading based exclusively on News Stories. Here's my advice to you on what it is worth – buy an automated system like the one I use, learn the ropes from your support team, do paper trading or demo trading for a few weeks and eventually start trading small. Do not use leverage until you are very capable.