Power transformers are supposed to be and remain in service in various environmental circumstances under different electrical and mechanical stresses. Base on failure history in power transformers obtained from four corners of the globe one of the major problems in transformers is mechanical defect. A number of monitoring and diagnostic methods have been introduced to recognize transformer active part displacement and winding deformation. Frequency response analyses and short circuit impedance measurement have been employed as two common diagnosis methods in large power transformer winding deformation recognition. On the other hand, researchers are expressing an increased concern about power transformer condition monitoring in the smart grid context. Hence, all of off-line methods need to move towards on-line applications. One of the challenges is finding reasonably accurate method which can provide sufficient information about transformer winding condition. In this study, mechanical defects of windings and their causes are investigated in detail. Frequency response analyses and short circuit impedance measurement as two popular methods in transformer winding deformation diagnosis will be employed to get insight into transformer active part condition. A large power transformer has been taken as a case in order to put the capability and sensitivity of abovementioned methods into test. Onsite test results on this giant transformer winding show that frequency response analyses method is capable to provide far more information as to the healthy or defected condition and physical movements of the transformer's windings and core compared to the other method.