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To add YouTube videos you need to add video embed code to your blog post. That includes: go to YouTube site, get the embed code and then add that code to your post. But now you can add YouTube videos using your post editor. You can easily search and add the videos. This feature is now available on Blogger in Draft.
To add the video just open your post editor and click on Insert a Video button. There choose From YouTube. Search your video and you will get the complete list. Select your desired video and add to the post. You can easily move that video in your post same as a image.
Another way to easily post YouTube video is that go to YouTube.com. Open a video to watch. Click on Share. You will find Blogger icon. Click on it to post it.