What color is the "grommet" (wire strain relief) on the Dura Spark modulator? Yes, it's an "ICM" in modern speak, but Ford originally called them "modulators" back in the day, so I thought I'd throw that in the mix for some historical reference.

Yes, some of them did a timing-retard when they received the START signal from the ignition switch.
Yes, your ignition coil very likely still needs a resistor wire. It does depend on the coil's resistance, but if it's a stock coil, it needs the resistor. And with Dura Spark, it's rarely a bad idea to use one, because the ignition module can get overheated from a 12v coil. The module itself usually gets the full 12v, but even one of them got a resistor I think. Depends on the color of the grommet.
The Red w/green is the ignition coil's resistor wire. It's pinkish-brownish when it's a resistor, but over the years the wire color for the first few inches after the key is still Red w/green. Some years the pinkish wire color went all the way to the ignition coil. ONly turning back to Red w/green in the engine compartment.
The Green w/red wire is for the alternator regulator. Sometimes an extra one was for power to the ignition module, but most times it was supposed to be Red w/green.
Not sure what the Red wire is on the back stud of the ignition switch. That's for the ACC power accessories, and would often be just a Black w/green stripe wire to the fuse panel and to the gauge voltage regulator. I've seen Broncos with the extra wire on the center stud, but never paid enough attention to it. So might be original to your '68, or might be added on. Probably original.
For the long term, you should protect your starter cable between the starter relay and starter. See where it passes between the A/C line and the wheel well sheet metal? It's close enough that over time you might see wear and tear on the outer jacket. Best to put something there. Maybe shrink tubing for a clean look, but better yet some split-loom covering, OR a bit of 3/8" rubber hose split down the length and hooked around the cable. Just to keep the sheet metal from wearing through and someday letting the smoke and fire out of the wire!
Paul