In this Psalm David speaks from God’s perspective. God says through David “I will instruct you and teach you in the way you should go; I will counsel you with my eye upon you.”
God speaks to us and guides us in very subtle ways. When we believe in God and read His Word, we become aligned with God. When we are so aligned, we are receptive to God teaching us. Our conscience will then guide us in making the right decisions.
If the decisions we make are in tune with what the Bible teaches, then we can be fairly certain that it is God who guides us. Unfortunately, Satan and his minions will also try to influence us. We can test these urgings to do what is wrong by the Word of God. If our guidance does not align with God’s Word, then it is most likely not from God.
Therefore, it is essential that we know the entire Bible. Only then will we be able to discern God’s leading and teaching. Only then will we be able to choose correctly the way we should go.