Make candy-covered pretzels: Cover board or pan with parchment paper. Divide cereal into separate colors, about 2 cups each. Crush ½ cup of each cereal color.
Place 2 oz. of Candy Melts candy in disposable decorating bag; melt in microwave on full power in 30 second intervals until melted.
Hold pretzel rod over parchment paper, pipe melted candy on pretzel, tap to remove excess candy. Immediately sprinkle with crushed cereal. Place on parchment-covered board. Repeat with each color. Chill until set, about 15 to 30 minutes.