Yeah the ground game is important. CC jab and grab are good tools. It's important to note that although you should go for the grab whenever possible, you shouldn't get carried away and go for a grab when it isn't safe or when there is a better option. Unexpected jabs and tilts can lead to jc grabs. Dtilt is also a good move due to it's range and the free uair it normally gives you.
Don't rush DJ. When I played him he was pretty campy. Try to keep the right distance from him so that he feels pressured to make a move but you are in no immediate danger. Keep yourself in motion with dashdances, wavedashes, etc. and try to keep him guessing. Don't miss any l-cancels and stick to your fastest moves.
Edit: Also, don't forget about stage control. On stages like ys, bf, and fod, controlling the center of the stage can make sheik feel pressured and lead to more edgeguards.