Is the red wire alga Gelidopsis or similar (if you aren't sure try searching google image search)? Although tedious, manual removal is useful for getting a lot of the algal biomass out of your tank. How much light do you have on your Chaetomorpha? Do you light the 'fuge 24/7? Having lots of light and running it 24/7 may help the Chaeto outcompete the red alga. Cutting back on the amount of nitrogen that enters the tank would also slow the growth of the red alga.
HTH,
Kevin