How you do this all depends on whether or not you are shooting a handgun, a rifle, and for hunting or targets, or casual plinking.
A handgun sight alignment is nicely shown above. These are the standard type of sights seen on many handguns. Where you decide to aim and where you decide to have the bullets hit, is a matter of individual preference. In all cases, your focus is on the sights, and the target is blurry. Some prefer to hold in the centre, and the bullets should hit just at the top of the blade. Others prefer to hold at 6 o'clock, as shown in the diagram above, and the bullets will hit several inches high in order to be in the bullseye. Others will hold deep 6, using the white target space between the bullseye and the bottom of the paper. Very good accuracy is possible.
For a rifle for targets, it is much the same question; what sight picture will allow you to hit the centre of the target.
For a rifle for hunting, or casual shooting, what type of sight alignment and where the bullets hit are different. You mentioned a blade, in which case the sight alignment is similar to the pistol alignment; top of the blade is level with the top of the rear sight. The bullets should hit at the top of the blade at your sight in distance.
However, if you are using a bead, it changes again. Many prefer to have the bead sitting up in the u shaped notch, so that there is some space under the bead and on each side. Your bullets can hit under the bead, or on the top of the bead. Your choice.
All of which to say, more complicated than the crosshairs on a scope. Practice is needed to get good.
For my hunting rifles with a bead, (a .45-70), I tend to have the bullets hit at the top of the bead at 100 yards. Any further distance I know that the bullets will hit under the bead. I hold for centre of chest of a deer from 50 to 150 hards.