Can I watch blu-rays on my PS3 and connect it to my laptop for a monitor?

No, your HP Pavilion's HDMI output means it's only output and its only to show laptop's content on an extended monitor.

if you have an LCD monitor with an HDMI or HDMI adapter input, you can connect it directly to your PS3
 
Bling what are you talking about? I own a PS3 and watc bluray all the time on it.
 
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