After Elon Musk's famous tweet saying he's considering taking Tesla (TSLA) private, one former NYSE trader has some advice for investors.

Stephen Guilfoyle, a Real Money contributor and co-manager of TheStreet's "Stocks Under $10" Portfolio, says:

  • Don't take a short position

  • Don't sell puts or calls

  • If you are long, stay long because of the $420 privatization possibility

Tesla is Real Money's stock of the day. Follow @RealMoney for the latest on the 'Musk' watch stock. 

More from Video

Jim Cramer: Kohl's Is a Buy

Jim Cramer: Kohl's Is a Buy

Jim Cramer: This Is a Rotational Bull Market

Jim Cramer: This Is a Rotational Bull Market

Jim Cramer on the Bull Market, Kohl's, TJX Companies, Apple and Toll Brothers

Jim Cramer on the Bull Market, Kohl's, TJX Companies, Apple and Toll Brothers

Here's Why You Should Invest in Immunotherapy Companies

Here's Why You Should Invest in Immunotherapy Companies

Remember, the Federal Reserve Is an Independent Body

Remember, the Federal Reserve Is an Independent Body