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176 / 160 = 1.1 exactly.
So every 1.1 units of LCD display, is roughly 1 touch pixel. The touch callback is returning LCD pixels, not touch pixels because it wants to abstract that away, its mostly irrelevant.
the callback fires, converts the touch pixel into LCD pixels, and gives you that, so you can work with LCD pixels without converting.
Very good to know. Through experimentation, I've found that touch works OK if I clip it manually to be within 0..176. It's necessary to tap the center of the buttons, and difficult to distinguish anything much smaller than my buttons, but it works. If I get annoyed, maybe I'll try 160x160.