Metastable austenitic stainless steel will transform to martensite when subjected to mechanical working. In this research an austenitic stainless steel has been subjected to large amplitude strain paths containing a strain reversal. During the tests, apart from the stress and the strain also magnetic induction was measured. From the in-situ magnetic induction measurements an estimate of the stress partitioning among the phases is determined. When the strain path reversal is applied at low strains, a classical Bauschinger effect is observed. When the strain reversal is applied at higher strains, a higher flow stress is measured after the reversal compared to the flow stress before reversal. Also a stagnation of the transformation is observed, meaning that a higher strain as well as a higher stress than before the strain path change is required to restart the transformation after reversal. The observed behavior can be explained by a model in which for the martensitic transformation a stress induced transformation model is used. The constitutive behavior of both the austenite phase and the martensite is described by a Chaboche model to account for the Bauschinger effect. Mean-field homogenization of the material behavior of the individual phases is employed to obtain a constitutive behavior of the two-phase composite. The overall applied stress, the stress in the martensite phase and the observed transformation behavior during cyclic shear are very well reproduced by the model simulations.