I've always heard that when your doing a squat, to keep your back straight head up and feet parralel to eachother. I dont have a problem with the back or neck part, i do have a problem with the feet.when i bend my legs, my knees try to bend outward, but my feet being paralel wont allow it and it results in uncomfortable tightness, but if i point my feet at about 10 to 2 o'clock, i dont have this problem, is this ok?
If you stand with your feet apart, they naturally turn outwards, just like the guy in the picture. Although maybe not as far as 10 to 2 o'clock.
I'd suggest reviewing the entire section on squatting at this site. http://stumptuous.com/weights.html
Pointing your feet out is just fine. If you jump straight up a couple of times then look down at where your feet landed, that is probably how you should be squatting. Take a slightly wider stance too if your feet are pointing out quite far.