Equalization can compensate channel distortion caused by channel multipath effects, and effectively improve convergent of modulation constellation diagram in optical wireless system. In this paper, the subspace blind equalization algorithm is used to preprocess M-ary phase shift keying (MPSK) subcarrier modulation signal in receiver. Mountain clustering is adopted to get the clustering centers of MPSK modulation constellation diagram, and the modulation order is automatically identified through the k-nearest neighbor (KNN) classifier. The experiment has been done under four different weather conditions. Experimental results show that the convergent of constellation diagram is improved effectively after using the subspace blind equalization algorithm, which means that the accuracy of modulation recognition is increased. The correct recognition rate of 16PSK can be up to 85% in any kind of weather condition which is mentioned in paper. Meanwhile, the correct recognition rate is the highest in cloudy and the lowest in heavy rain condition.