Do honest people know for certain when others are dishonest? Can dishonest people also detect when other dishonest people are lying?

Detecting lies and telling lies are two different independent skills.

Face to face, some people are very skilled at detecting lies. An example of such people can be found at the final table of the world series of poker. Honest and dishonest people can both develope these skills.

However, it's my experience that honest people tend to give people the benefit of the doubt and be more trusting in uncertain situations. Dishonest people tend to be very distrusting and suspect others of being dishonest like themselves.

Many liars are glib talkers, and if they aren't directly telling a lie about something, they avoid telling the truth by obfuscating or changing the subject.

Actually, lying is a skill. Like any skill, it takes practice to become good at it, and those who practice it long and assiduously are very hard for anyone to detect.

Also like any other skill, those who have engaged in it are better judges of it than those who are not. As a result, practiced liars are more likely to spot a skillful lie than people who rarely if ever lie. If one has never played football or been in ballet, they do not have the first idea of what they are actually seeing when they watch either - the same principle applies with lies.

Note that this applies to skillful, careful lying. Stupid or careless lies, such as the ones a narcissist or a child would make, can be detected by most people who are interested in detecting them.

The bible says liars believe other liars and I think if you are honest and never lie - you will be able to detect falsehood in others fairly easily.

There isn't a reliable form of lie detection yet... The most they can do is tell if someone is stressed.