Peluso helped his high school team, Greenway, make consecutive tournament appearances in the state tournament in 1969 and '70. He performed so well that he was one of the few American players recruited to Denver by Murray Armstrong. Peluso swiftly proved that he belonged by finishing third on the team in scoring with 51 points and helped the pioneers win a conference co-championship and return to the national tournament. The following season Peluso led the Pioneers with 69 points, winning both the regular season and tournament championships in the WCHA. He was named as an All-American and finished 4th in the nation in scoring but Denver lost the national semifinal for the second year in a row and ended up 4th for the tournament.
