Originally Posted by htopball
So the terminal that's missing it's wire, (about 7 O-clock) is the one that (what) melted off?
Find that wire, & using a voltmeter, Ohm it to ground. If you get a reading, it's a short. Start tracing it, (unless you already know where it goes) & see what it leads to. That's where the problem likely is.
Most of the other wires connected to the starter relay, have a fusible link to prevent electrical fires. I would suggest putting one on that wire too, once you get the short squared away.
I was rolling on a highway about ten years ago, in my 1978 Dodge Ramcharger. All of the sudden, there was lots of smoke coming from under the dash.
I pulled right onto the shoulder, opened the hood & undid the positive battery cable via it's quick release. There were three wires glowing & the covering dripping off. I got to it just in time, before it ignited into a flaming deathtrap.
Don't take this lightly, you need to fix this right! If you can't figure it out then take it to an automotive electrical specialist.
Fire hurts real bad, when you can't get out of it quick enough!