NO it is not dangerous to travel to israel now.

People waste time and energy worrying about all the wrong things.

The most dangerous thing (leading cause of death in the US) is heart diseases , which account for 40% of all deaths, followed by cancer (23%).
[source: http://www.the-eggman.com/writings/death_stats.html]

The number of casualties from terrorism, compared to traffic accidents, is benign.
And if you are still worried, you should know that the last few months have been fairly quite.

Israel has a wide range of attractions - historic, natural, religious, cultural.
The people (Israelis, Arabs, Jewish, Islamic and Christian) are warm and welcoming; The food is very diverse and appealing to every palate; The night-life in Tel-aviv is considered among the best in the world.

The cost of traveling in Israel is low compared to the US and Europe.

Enjoy your vacation !