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In this paper, the performance of signaling strategies with high peak-to-average power ratio is analyzed in both coherent and noncoherent fading channels Two recently proposed modulation schemes, namely on-off binary phase-shift keying and on-off quaternary phase-shift keying, are considered. For these modulation formats, the optimal decision regions used at the detector are identified and analytical expressions for the error probabilities are obtained. Numerical techniques are employed to compute the error probabilities. It is concluded that increasing the peakedness of the signals results in reduced error rates for a given power level and hence improve the energy efficiency.