Of course, good listeners need to make use of the interaction between both types of listening - bottom-up and top-down.
For example, if you hear the sound /ðɛə/, it is only the context that will tell you if the word is "there", "their" or perhaps "they're". Your knowledge of grammar will tell you if /kæts/ is "cats" or "cat's", which may be "cat is" or "cat has".
Listen to the following English sentences. Use both bottom-up and top-down clues to help you understand the sentences.