The successful formation of composite parts without defects remains a challenging issue due to the complexity of the forming process. A better understanding of the factors that cause these flaws is necessary to optimize the operation. The present work investigates the in-plane shear behavior of out-of-autoclave carbon epoxy thermoset prepregs OOA and its effect on wrinkling using the picture frame test. The deformability of OOA at the real processing conditions helps to understand the applicability of such material for forming processes such as the double-diaphragm forming technique with aims to minimize overall manufacturing time and cost. Tests were performed at varying temperatures and displacement rates in order to determine their contribution to the fabric deformability. Digital image correlation was used to take sequential images at various stages of deformation and capture the onset of wrinkling. It was found that the processing temperature (resin viscosity), displacement rate, and layer counts (layer interactions) are the three most important parameters that influence the wrinkling. Presence of resin between the layers makes them interact with each other and therefore has an impact on the each layer shear angle. These parameters were then analyzed using the Taguchi and analysis of variance techniques to determine which factor has the most significant influence on the wrinkling.