Here are some practical reminders from Thomas Watson on how to read the Bible.
1. Remove hindrances. (a) remove the love of every sin (b) remove the distracting concerns of this world, especially covetousness [Matt. 13:22] (c) Don't make jokes with and out of Scripture.
Application: discover what it means practically
The first step in application is to find out what the Word of God says on any particular subject through accurate observation and correct interpretation of the text.
Interpretation: discover what it means
While observation leads to an accurate understanding of what the Word of God says, interpretation goes a step further and helps you understand what it means. As you seek to interpret the Bible accurately, the following guidelines will be helpful:
Observation: Discover what it says - Observation teaches you to see exactly what the passage says. It is the basis for accurate interpretation and correct application. Observation answers the question what does the passage say?