I take it this is a high sepc / sporty 106 then to have an alarm? Is it the ultrasonic Peugeot factory alarm?
Has it got a button with an odd looking symbol like a spot with waves on it?
You could try this.
Car locked, open door with key, alarm will sound & within 10 seconds switch the ignition on untill the normal warning lamps come on & press & hold the ultrasonic alarm warning button, the alarm should now be shut down.
Lee, June 2007