No, the Foreign Earned Income Worksheet does not prevent you from getting a break on your long term capital gains.
The excluded income is included to determine whether your capital gains tax rate is 0%, 15% or 20%, but you still get a lower tax rate on your long-term capital gains.
For instance if you are single and your taxable income, including the excluded foreign income, is between $39,376 and $434,550, your capital gains tax rate is 15%, even though your ordinary tax rate would be at least 22%.
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