Mix equal parts potting soil, coarse builder's sand and peat moss in a 1-qt. clay pot. Add 1/3 oz. of bone meal and two drops of 5-10-10 fertilizer to the cactus potting soil mixture. Moisten the potting soil with water, but do not saturate it.
Place the cactus nursery pot in a dry location and let the soil completely dry out so that it just pulls away from the sides of the pot. The cactus should not be soft to the touch, faded or wilted from lack of water, however.
Put on a pair of gardening gloves to protect your hands from any cactus spine punctures. Grasp the cactus by the base of the plant and gently twist and pull up, loosening the root system from the dirt. Gently untangle as much of the root system as you can with your fingers.
Create a deep hollow in the soil mix in the new clay pot. Gently set the cactus into this soil hollow. Spread the root system so that it stays contained in the soil hollow. Push the soil mix over the root system up to the point where the roots meet the body of the cactus. No roots should be protruding from the soil surface.
Fill the remainder of the pot to within 1/2 inch from the top with the potting soil mix, ensuring that you do not cover the body of the cactus. Tamp the soil down with your fingers so that the cactus stands upright on its own. Place the clay pot in a clay pot tray, and put the cactus in a sunny window.