First, you are advised not to post any personal info on a public forum such as this - instead seek a confidential consultation with an attorney. As for your question you raise an issue about denial of a non immigrant visa, so seek consultation with an excellent attorney with experience in your area; It is very important to discuss with an attorney exactly what you (and spouse) want to do; because you are not a lawyer you may not appreciate the distinctions (and limitations) with a non immigrant visa - seek help now.
No attorney-client relationship is created or implied by this communication.
There really is no appeal, though he can usually apply again one time without having to pay the fee again.
I do suggest speaking to an attorney for help in assembling a package of material to prove ongoing ties to Israel for presentation - don't count him him being given the time to explain verbally. It's often a problem proving intent to only visit briefly when asking for a visitor visa, and being married to a citizen makes it much harder - they assume you would both want to live in the US and that he is asking for the wrong visa to do this, and so deny.
My colleague is right about giving personal info here not being the best idea - if you can remove it from your question, it's probably for the best.
But, definitely consult an attorney directly.
From the facts that you present it is unclear as to what the actual reason for denial is. The fact that he is not a student would be a reason to deny a student visa application. It would not, in and of itself, be a reason to deny a visitor's visa application, which is what he appears to be applying for.
Most visitor visa applications are denied because the applicant is unable to establish that he maintains a foreign residence he has no intention of abandoning. The fact that you are a U.S. citizen makes it easier for a consular officer to deny the application because there is a greater likelihood that your husband will remain in the United States with you This is not so say that it cannot be overcome, but it will be more more difficult and the facts of the case will be very important in establishing nonimmigrant intent.
Consult with an experienced immigration attorney who can review the facts surrounding the denial and advise you what should be done to bolster the chances of approval. Many attorneys will conduct consultations for clients outside their local area by telephone or Skype.
While this answer is provided by a Florida Bar Certified Expert in Immigration and Nationality Law, it is for general information purposes only and an attorney/client relationship is neither intended nor created. You should seek out qualified counsel to review your case and provide you with advice specific to your situation. Review Mr. Devore's Avvo Profile for more information about his expertise in immigration law and how to contact him to discuss your case.