The effects of cutting parameters on the transverse vibration of diamond circular saw blade were experimentally investigated. Transverse vibration was online measured by a novel measuring system developed by wireless sensor. Meanwhile, axial force on saw blade was measured by a dynamometer. By the experimental results under different cutting parameters, the time domain characteristics of transverse vibration of saw blade were analyzed, and the relationships between transverse vibration and cutting parameters were also obtained. Axial deformation is greatly influenced by the axial force acting on saw blade.