It's the ABS sensor and should not be removed/bypassed.
Its in the transmission
Speed Sensor The sensor is located on the rear axle housing.
The speed sensor is at the top rear of the transmission housing.
The speed sensor is located on the top side of the rear end housing.
The speed sensor is located on the rear axle housing.
Speed Sensor The sensor is located on the rear axle housing.
The vehicle speed sensor is at the top rear corner of the transmission housing.
speed sensor is located on the top of the diff housing not on the transmission
The VSS (Speed Sensor)is on top of the differential housing.
ford speed sensor are usually in the differential housing.
The vehicle speed sensor is on the top of the rear axle. The trans output speed sensor is on the driver side tail housing of the trans,
the sensor is located in the differential housing on the back of the transmission. (this is the speedomoter sensor, it is in the housing that the pass axle shaft slides into) For the 3.3/3.8L, it is near the bell-housing facing the firewall, as it senses the magnets that are on the torque converter when it spins. (that is the engine speed crank position sensor)