We consider the problem of estimating one- and two-dimensional direction of arrivals for arbitrary plane waves in an incoherent/coherent source environment. For the one-dimensional case, we use matrix pencil (MP) method developed by Y. Hua for signal-poles estimation. We then extend this method to estimate the two-dimensional direction of arrivals (2D-DOA), resulting in the "Extended Matrix Pencil" (EMP) method. This method can be applied successfully as much for an incoherent source environment as for a coherent source environment. To study the performance of these methods, in both cases results are compared with the "Total Least Squares-Estimation of Signal Parameters via Rotational Invariance Techniques" (TLS-ESPRIT) and the "Spatial Smoothing-TLS-ESPRIT" (SS-TLS-ESPRIT) methods. The results show that the MP method estimates the DOA more accurately and better than the TLS-ESPRIT and the SS-TLS-ESPRIT, even with few snapshots. Simulation results show that the EMP method, presented in this paper, estimates the 2-DOA better than the other two methods used for comparison.