If you are really sneaky...or just want to kill any Qeynosian guards who get in your way, then you are not blocked in anyway at all from doing the High Elf quest in Qeynos. It does seem cruel, but makes sense...you would have started as a High Elf Conjuror, then had to betray...
The same topic came up for a while during the Freeport revamp, but people quickly adjusted their routes for sneaking around the city, and finished their racial rings.
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Things I sometimes play...
"What do you want to be when you grow up?"
"I want to be a unicorn!"
"Awww, why's that?"........
"So I can stab people with my face."