Leicester's fairytale season shows no signs of abating as they prepare to travel to Old Trafford on Sunday.
"They have already torn up the rule book by the way they play," Souness said. "They have so little possession, players that were relatively unknown, a small budget, but they are the dominant team in the league. Fair play to them."
The East Midland club hold a seven-point lead over second-placed Tottenham Hotspur with a win at Old Trafford on Sunday against Manchester United enough to seal the title, and Souness said it would not surprise anyone if Leicester were to emerge victorious.
"In this most incredible Premier League year, would anybody be surprised if Leicester went to Old Trafford, one of the greatest football stadiums in the world, and won the league there?" he said.
The Foxes have lost just three games in the league all season, and they have already won away to Manchester City and Spurs. They have impressed pundits and fans alike with their fearless approach when taking on the so-called bigger clubs.
The former Liverpool captain explained just what an incredible job Ranieri has done this season:
"Claudio Ranieri has come up with a system that defies logic. They give the ball away - they have the lowest passing accuracy in the league - and their goalkeeper has passed the ball into the final third 482 times. That would suggest they are a long ball team, but they are a joy to watch."
Manchester United have a different sort of battle on their hands - the fight for a Champions League spot - so they will be desperate for all three points on Sunday, and Souness highlights how this will represent a different challenge to the one posed by Swansea City last weekend:
"This weekend will be different as they are playing against a Man United team who are stubborn, well organised and have something to play for. However, they are going into the game looking in their rear mirror and not seeing anyone."