Click the Effects And Transitions button in the Media panel.

Expand the Video Effects group, and then expand the Adjust group.
Drag the Posterize effect to the clip image in the Monitor panel.
To preview the effect, position the current-time indicator before the clip, and click the Play button
Adjust effect properties
The Properties panel lets you adjust clip settings—such as brightness, contrast, opacity, and rotation—and fine-tune the effects you’ve applied.
Select the second clip in the Sceneline.
Expand the Posterize effect in the Properties panel, and change the Level value to 5. In the Monitor panel, click the Play button to see the change.