Definitely cash games. There is WAY less variance in cash games than in tournaments and also the cash game play is more straightforward, as you are always deep stacked, whereas in tournaments you need to differ your play based on the stage of the tournament and also on the stack depth.
I assume you are a beginner so the best thing for you will be to stick to cash games. Given your limited bankroll this will be the best option I am sure.
Even if you dont plan to be a cash player in the future, learning the basics will be definitely better in cash games. Im basically doing the same. I dont know yet if I want to settle for cash games or proceed to play tournaments some day, but I need to learn A LOT before I become a decent player and cash games are the best for this.
You can find many valuable information about cash games, strategy, and other things in the cash games subforum here on CardsChat. There are many cash journals /including mine/ which can help you develop your game.
GL at the tables and dont give up!