By default qualities menu is displayed separately in control bar. You can also order to display it as setting submenu by setting nuevo plugin option qualityMenu: true.
Code Setup
<script>
var player = videojs('player_1');
player.nuevo({
qualityMenu: true,
});
</script>
The HD or 4K icon appears for videos of minimum 1080p resolution. This is what Youtube apply as well.
HD icon for resolution > 720 hase been depreciated, however the user may still decide about minimum resolution to show HD icon.
<script>
var player = videojs('player_1');
player.nuevo({
minhd: 720
});
</script>
For HLS and MPEG-DASH streams quality switcher appears automatically if only multiple variants of media defined in playlist file.
Check this qualityhls.html example.