This was discussed here some years ago, and I think the answer was that it can be done, but not via the Monitor app. You will have to set up a VNC connection over USB. Quite a few people found that bVNC worked particularly well. I think this is the thread with the details:
https://www.mobileread.com/forums/sh...18#post3784118
EDIT: After posting, I remembered that user mdp had created a modified monitor app which, together with a Python script run on the desktop, did in fact let you use the touchscreen and stylus. See:
https://www.mobileread.com/forums/sh...18#post3674318
I'm not sure if it works with the current firmware, but there's no reason why it shouldn't.