You're going to have to explain what " I assume that the strong ♣ is blocking for a normal 4♥ opening." means. As stands..I obstain...passing with E hand is just from another galaxy.
I would assume the Ace of Diamonds is quite a bit worse, as given the X it's somewhat likely getting ruffed, and it's not that unusual for W to have the Kd here. Diamond preempts can be a bit suspect. I think the real mistake here is to open 2♦. That's the kind of bid that destroys partnership trust. Open 3♦ or pass. By underselling the length you're impeding partner's ability to further the preempt considerably. Ax or even stiff A is pretty good opposite 7... much less good opposite 6.
I really dislike saccing at the 5 level holding 2 likely defensive tricks. This is the WORST sort of hand to sac on...too much defense, not enough offense. Wouldn't surprise me if everyone is -1. A hand like, say !S x !h JTxxxx !D AQxxx !C x and now we're in the ballpark.
In a vacuum, maybe. But in real life, on your hypothetical board, there will be several pairs either missing game or in slam going down, so the odds of 5M are really much worse than you're portraying.
Strong disagree. Can't W have that same hand without the AH? 3N could easily be off 6 or 7 top tricks. This is made even less appetizing from E's perspective in that his non-c honors are surely under rather than over the outstanding high cards.
1. Passable in theory, but very rare, basically only passing with a super-weak 4441 type hand that couldn't stomach passing 1m. 2. That this is NF is what makes it SA and not 2/1.