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PVH has rallied, and one investor is afraid of losing his shirt.

optionMONSTER's Depth Charge monitoring program detected the purchase of 2,500 December 82.50 puts for $8.60. Equal numbers of December 70 puts and December 92.50 calls were sold at the same time for $8.60 and $3.65 respectively. There was barely any open interest in any of the strikes before the activity occurred, meaning that a new position was initiated.

The trade generated a credit of $0.55 and will earn an additional $12.50 if the apparel stock closes at or below $70 on expiration. That's roughly the same level where it consolidated several times last year, which could make chart watchers expect it to be reached in the event of a pullback.

The inverstor is also now obligated to sell shares if they close above $92.50 on expiration. The trade was probably done by a long-term holder of the name who is looking to protect a position. The strategy combines elements of a bearish put spread and a collar trade . (See our Education section)

PVH is up 19 percent this year, but the stock fell 1.84 percent to $84.08 yesterday and could be turning bearish after falling below its 50-day moving average. Management also issued lackluster guidance in late March as higher costs hurt margins, ending a series of near-perfect financials.

Overall option volume was 10 times greater than average in the session, according to the Depth Charge.

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