Cyclone Penny downgraded to tropical low

Tropical Cyclone Penny has been downgraded to a tropical low after the system made landfall on the Cape York Peninsula on Tuesday afternoon.

The Bureau of Meteorology says the now former category 1 system crossed the west Peninsula coast between Weipa and Thud Point just before 4pm and was downgraded to a tropical low around 7pm.

Cyclone Penny is expected to continue east over the York Peninsula at 15 km/h with sustained winds of 65km/h and gusts up to 95 km/h.

Despite being downgraded a severe weather warning is still issued for damaging winds and heavy rain for parts of the Peninsula district north of Musgrave and for abnormally high tides over some Torres Straight islands.

Cyclone Penny will move fairly quickly overnight and pass out into the northwest Coral Sea just after midnight into the early hours of Wednesday, a Bureau spokesman told AAP.

It is possible the system will reform into a tropical cyclone by late Wednesday but is expected to be well off the Queensland east coast when this happens.

Over the weekend Cyclone Penny may make a u-turn and start tracking back towards Queensland's Central coast but it will have weakened again to a tropical low, bringing with it heavy rainfall.

A flood watch alert remains in place across Cape York Peninsula.

Queensland Fire and Emergency Services Far Northern Region Assistant Commissioner John Bolger said it was important locals followed the directions of authorities and either shelter in place until the cyclone passed or relocate if asked.

"Those who remain in place should shelter in the strongest part of the house and ensure their emergency kit is close by," he said.

Mr Bolger said the intense rainfall could result in flash flooding of creeks, drains and causeways.

"Under no circumstance should people enter flooded creeks or causeways by road or on foot. If you come across rising floodwaters, turn around and seek an alternative route."

Rivers and creeks are already swollen after heavy rain soaked the region over Christmas, with parts of the far north receiving more than 400mm in the past week.

A 34-year-old woman remains missing after she disappeared in a fast-flowing creek near Cooktown on Thursday.

The body of a 28-year-old man was found on Monday morning, several kilometres downstream from where he entered a flooded canal close to Cairns city on Saturday.