In a large mixing bowl beat butter with an electric mixer on medium to high speed for 30 seconds. Add sugar and baking powder; beat until combined, scraping sides of bowl occasionally. Beat in egg and vanilla until combined. Beat in as much of the flour as you can with the mixer. Stir in any remaining flour. Divide dough in half.
Stir chopped candied cherries and food coloring into one half of the dough until combined. Stir chopped white baking squares into the remaining half of the dough. Wrap each dough in clear plastic wrap or waxed paper; chill for 30 minutes or until easy to handle.
For each cookie, on a lightly floured surface, shape a slightly rounded teaspoon of red dough into a 6-inch-long rope. Repeat with a teaspoon of white dough. Place ropes side by side and twist together. Place twists 2 inches apart on an ungreased cookie sheet.
Bake in a 375° oven for 8 to 10 minutes or until edges are firm and lightly browned. Cool on cookie sheet for 1 minute. Transfer cookies to a wire rack and let cool.
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