Copying conditional formatting to other rows automatically?

Hi folks,

Could somebody good with excel please have a look:

I have a problem. I want to color the whole row with conditional formatting. For example, if A1 = x, then the whole row from A1:Z1 should be grey. If A1= y, then whole row should be red and so on.

So far so good and it works for one row, but as soon as I drag down the formula, it formats the whole sheet and not just one row.

What I have done is so far:
Conditional formatting -> Use a formula to determine which cells to format (Formula: =if(A1="x",1,0) & (=if(A1="y",1,0)

My problems seems to be the Applies to field, however. I can't seem to change the $ equation. E.g. the original field shows "$A$1:$Z$1" and if I try to change it to "$A1:$Z1" and click apply, Excel automatically changes it back to "$A$1:$Z$1".

Anybody with knowledge on how to solve this? Any help would be greatly appreciated. Many thanks in advance,

A frustrated Excel user :(