You want to use the Adobe Media Encoder and choose the YouTube preset that matches your original comp size and frame rate. You are sending an uncompressed file to the web and letting their software do the compressing.
Please watch the last video in this section to learn a bit about rendering: Basic Workflow
Thank you for your response and the video was very helpful.
I added to Adobe Media Encoder and chose the YouTube 720p HD setting. It rendered nicely into the mp4 format on my computer but once again is blurry once I upload on facebook. Is there anything else you would suggest?
Facebook is going to recompress the image. I would suggest that you upload to YouTube(which will also monkey with your video a bit) and put that on Facebook. You might also want to wait for a bit for Facebook to work it's magic with your video. I'm not really sure how FB handles video. If I want something to look really good on FB I'll put my video on Vimeo and link to it.
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I finally figured it out! In Facebook you need to change your Video Settings to "HD if available."
In case anyone else is having issues I would recommend following Rick's instructions above for rendering the video and then watching the video below for how to set your facebook settings correctly.