The Painted Cup Moth Doratifera oxleyi is quite common and its caterpillars may be found in great numbers feeding on the leaves of the Red Gum (Eucalyptus camaldulensis). The two shield-shaped markings at each end of the upper body each surround four yellow-tipped knobs from which stinging hairs can be raised if disturbed. The adult moths are dimorphic (the sexes differ), The females are heavy-set orange-bodied moths and have brown, pale-edged wings (5 cm across). The males are smaller, have a hairy orange body with a white tip on the abdomen, white furry legs and underside, and bluish transparent wings (2 cm across).
The spines cause intense stinging if they touch the skin, and may even cause large lumps to appear.
This one is less than 2 cms in length and was quite hard to spot.
They have been known to cause nightmares to some sensitive folk and should you be so endowed please forget that you saw this photograph.