Market pullback likely not over, but good news ahead, Morgan Stanley portfolio manager says

The market downturn probably isn't over yet, but there is good news on the horizon for investors, according to Morgan Stanley's Andrew Slimmon.

Earnings season is coming up in April and it should be "pretty good," he told CNBC's "Power Lunch" on Monday.

"Ultimately I think the story is not about what's going on in Washington. The story is about an earnings recovery and good economic data," said Slimmon, senior portfolio manager at Morgan Stanley Investment Management.

"You're going to hear more confidence coming out of companies when they start to report in April, and I think the market's going to like that, especially if the market's weak going into that period."

In the meantime, he anticipates there could be another 2 percent to 2.5 percent pullback.

The market moved higher after President Donald Trump's election in November. However, equities recently took a hit after investors became jittery about the prospects of Trump's agenda. Last week, the Republicans' health-care bill aimed at replacing Obamacare was pulled after the party failed to garner enough votes for its passage.

Brian Levitt, senior investment strategist at Oppenheimer Funds, isn't concerned that the Dow Jones industrial average is down about 2 percent from its highs.

"Corrections happen. I think what's surprising is that everybody's reacting as if we didn't know that the realities of governing were difficult," he told "Power Lunch."

"There was a reasonable base-case optimism to be made in the aftermath of the election, but we always knew that this wasn't going to be easy."

Levitt advises investors not to overreact and to stick to their plans, noting that secular bull markets don't end with a generally accommodative Federal Reserve, lack of market participation and an "OK" economy.

"The reality is the composition of returns have changed somewhat in that everybody thought it was a value trade. I think we're still in growth in a slow-growth world," he said.

He would also look overseas at Europe and emerging markets.