Pydev: error init console

I cannot get the Jython console to work in Eclipse Luna. The Python console is running.

Error message:

Console initialization error. Unexpected error connecting to console. Could not get a suitable Hello response from ...

The problem and solution are described here: suggested solution

The solution describes a fix in XP that I tried to do on Windows 7, although the procedure is not quite the same as described.

I had to check "use a proxy server" and then add "localhost", ... to the exceptions.

I am still getting the error.