Kevin Horner

Stoic philosophers in ancient Greece and Rome believed that whether an event beyond our control is good or bad depends only on our reaction to it. When it comes to volatility, they may have a point. Volatility is simply a measure of how much and how quickly stocks move up or down. It can certainly feel nerve-wracking, but it can also create potential opportunity for traders who know how to interpret it.

For traders looking for opportunities off the beaten path, over-the-counter (OTC) stocks—which trade outside the centralized exchanges—could seem like a tempting opportunity. After all, owning a piece of the next Apple, one of the most successful OTC stocks in U.S. history, is a dream for many investors. But much of what makes OTC trading appealing also makes it risky. Here's what to consider before you jump in—and how to adjust your trading plan to accommodate the increased risk.

When markets grow volatile, you may find yourself fielding a request from your brokerage to top up your margin account. As if falling stock prices aren't bad enough, suddenly you're being asked to either pour more money or securities into your account, or sell stock to bring your account back up to the minimum maintenance level. What's the smartest way to proceed? The first thing to acknowledge is that margin calls come with the territory.