Market Preview: A Welcome Correction?

Meantime, TrimTabs flagged some cause for concern in the data on insider trading during earnings season over the weekend. The research firm said new stock buybacks averaged only $1.2 billion daily over the first four weeks of earnings season, the slowest pace since mid-2010.

"If buybacks do not pick up soon, it would be a particularly negative sign because corporate selling is set to soar," TrimTabs said. "We expect underwriters to suck at least $2 billion daily out of the checking accounts of stock market intermediaries from now through Memorial Day."

The firm noted that Facebook is looking to raise up to $13.6 billion in its IPO on May 18, and that "net insider selling jumped to $2.3 billion on the past 10 days as earnings season blackouts started to lift, and it is likely to rise further as long as the market does not crack."

As for Tuesday's scheduled news, Walt Disney(DIS) reports its fiscal second-quarter results after the closing bell, and the average estimate of analysts polled by Thomson Reuters is for earnings of 55 cents a share for the Dow component for the March-ended period on revenue of $9.56 billion.

The stock is going into this report with some momentum after The Avengers packed a powerful punch at the box office this past weekend, raking in a record $200.3 million in North America and more than $640 million worldwide. Those receipts will go a long way towards canceling out the company's big whiff on John Carter.

Year-to-date, Disney shares are up nearly 15%, hitting a 52-week high of $44.50 on March 27. The sell side has a bullish lean ahead of the results with 20 of the 32 analysts covering Disney at either strong buy (4) or buy (16) and the median 12-month price target sitting at $48, implying potential upside of 9.5% to Monday's closing price of $43.82.

Deutsche Bank has a buy rating on Disney and recently bumped its price target to $56 from $53, citing "favorable dynamics such as 62% of EBIT earnings before interest and taxes from networks, limited secular growth concerns (focused on non-ad supported kids, live sports), very strong competitive positions, leading global brands, strategically complete, and excellent B/S balance sheet & governance."

For S&P Capital IQ, the success of The Avengers is particularly well-timed.