Starter/Wire/Transmission???

So I have a 92 ford explorer, that as far as I know is completely stock, except for the locking hubcaps that were put on by the previous owner. It won't start, and makes a sound like a high-powered drill when you try, which I've been told is the flywheel not engaging right, and spinning freely? I got a new starter (I was told this would fix the issue) and while I was rolling around on the ground in the rain (perfect timing!) I noticed there's a wire that's practically completely broken, that runs from the transmission (I think) Upwards past the starter. The entry point for this wire into the transmission is right next to the starter, but it doesn't connect to the starter. It's all oily and nasty from the powersteering cap popping off, so I don't know if it's corroded or not, you cant' tell. only 2 or 3 wires are holding it together, and I'm afraid to touch it and it fall apart. Needless to say, I have no idea what this darn thing is, where it goes, or what it's called, or what it's for.

Can anyone tell me what it is? I don't have a picture, though I can try and get one later, when it's not pouring on my head. I've put off instaling the starter for now, (I cant get enough room to get the bolts off to begin with and need to get it to a more feasible spot (like a low point in the lot) but that wire's -really- bugging me.

Any help at all, even a guess, would be super appreciated.
Thanks.