POSTQUEL was definitely the primary interface to postgres. The navigational interface was an early Postgres feature. See page 3 and page 10 ("fast path") of Stonebraker's 1990 paper on the implementation of postgres: http://db.cs.berkeley.edu/papers/ERL-M90-34.pdf
Thanks for the link. Fast path was mostly about the function manager and only incidentally about data access. As in, "if you call all these functions that are part of the infrastructure, you can get at data". But that's not really a navigational interface (get first of set), more a side effect of exposing the internals via the function manager.
I started at Sybase in 1988, there were a lot Britton Lee alums, who had also worked on the ingres project as well. I ran in the the rest at Illustra in the 90s.
Specifically, POSTQUEL was not really obsolete, it's just that the market had picked SQL by then. Compare the fates of git versus Mercurial. Mercurial is not obsolete, but git is the clear popularity winner.
Second, I don't recall at all a navigational interface to postgres and the idea that this was a primary access method in postgres is quite surprising. Do you have a reference for this? I'd be very curious to read it.