I have a Sony hd video camera. .......
I have two of them.
The best choice for TV display is the 1080p60 setting. On an HD TV, the picture quality is stunning. The 1080p60 setting is tangled up with Blu-Ray and AVCHD standards by Sony and Panasonic. Adobe's Premier Elements didn't buy in until version 11. The high quality files are so large and complex that it takes a computer with some horsepower to have everything work well. Your TV, if a recent HD model, also works as a 1080p60 display device. If your computer does not have the graphics working to match, you will get diminished clarity.
When I pause, the images are sharp.
Playback quality set to highest?
(rightclick on the playback monitor)
And don 't forget to render your timeline (press Enter) before playback!