Hi rosie,
Its a fungus that alternates back and forth between cedar trees and apple trees in its life cycle. There is a photo shown in the link below.

It has gelatinous reddish-orange threads and kind of looks like a flower (OK, maybe the weirdest flower you've ever seen).

Here is a link that might be useful: {{gwi:1048151}}

I just knew someone here would know what I was seeing! Thanks, Cathy! At first I thought I was seeing fishing lure skirts , (thought process)but wait, there are too many! What the heck? Garden Web will know!