nRF Terminal extension in VS Code fails to connect in RTT mode

I installed the nRF Connect extension pack which also contains the nRF Terminal extension but I cannot make it work in VS Code

In the command pallette I select  nRF Terminal:Start Terminal, specify RTT as a connect method and hit Enter when prompted for device name, serial number and memory address.

There is a message "nRF terminal trying to connect" at the bottom of the VS Code window but it  never succeeds. I verified that the board is connected with JLink , the code is running and I can see output is printed in the JLink RTT Viewer 

Tried to send nRF:clear  but that did not help

Any ideas how to fix?

Thank you

Andy

Related