Portugal took an early lead through Barcelona's Quaresma before Barton levelled. However, Postiga's controversial winner meant England were out. The Spurs striker diverted Viana's free-kick in with his hand on 78 minutes.
The leveller came on 37 minutes when Jeffers brought down Ameobi's flick and the ball fell for the City youngster. He prodded the ball goalwards and it trickled in off the right-hand post.
Barton came close again in the second half as England pushed for the winner but Postiga's unlawful goal ended all hope.
Shaun Wright-Phillips was on the bench but didn't appear.
England: Grant; Jagielka, Dawson, Clarke, Konchesky; Johnson, Prutton (Defoe), Barton, Barry; Ameobi, Jeffers. Unused subs: Hibbert, Sidwell, Tonge, Wright-Phillips, Zamora, Burch.
At Goodison Park, Liverpool.