That would be your starter solenoid.
I just read your post about not getting your engine to crank.
Run a jumper from red to red (battery to starter wires) real quick. If it cranks, then you need a new solenoid...assuming you get 12v from the wire coming from the battery.
Trace all the cables and let us know where they lead.
This is not an OEM solenoid...most likely because of your engine swap. No telling what the PO used.
Edit: If this is indeed the starter solenoid, there's supposed to be another wire from the ignition to the solenoid that tell the solenoid to close the circuit to send electrons to the starter motor. I don't see that in this picture, so it may be your problem. Again, if it is the starter solenoid...