The spin-1/2 highest weight representations of the dynamical 6-vertex and the standard 8-vertex Yang-Baxter algebra on a finite chain are considered in this paper. For the antiperiodic dynamical 6-vertex transfer matrix defined on chains with an odd number of sites, we adapt the Sklyanins quantum separation of variable (SOV) method and explicitly construct SOV representations from the original space of representations. We provide the complete characterization of eigenvalues and eigenstates proving also the simplicity of its spectrum. Moreover, we characterize the matrix elements of the identity on separated states by determinant formulae. The matrices entering in these determinants have elements given by sums over the SOV spectrum of the product of the coefficients of separate states. This SOV analysis is not reduced to the case of the elliptic roots of unit and the results here derived define the required setup to extend to the dynamical 6-vertex model the approach recently developed in [1]-[5] to compute the form factors of the local operators in the SOV framework, these results will be presented in a future publication. For the periodic 8-vertex transfer matrix, we prove that its eigenvalues have to satisfy a fixed system of equations. In the case of a chain with an odd number of sites, this system of equations is the same entering in the SOV characterization of the antiperiodic dynamical 6-vertex transfer matrix spectrum. This implies that the set of the periodic 8-vertex eigenvalues is contained in the set of the antiperiodic dynamical 6-vertex eigenvalues. A criterion is introduced to find simultaneous eigenvalues of these two transfer matrices and associate to any of such eigenvalues one nonzero eigenstate of the periodic 8-vertex transfer matrix by using the SOV results. Moreover, a preliminary discussion on the degeneracy of the periodic 8-vertex spectrum is also presented.
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