I used that chinese fold until my ds was about one, but it was quite a tight fit at the end! Then changed to the Jo fold. Now we use only fitteds with dd, although I did use some muslin squares when she was tiny (also chinese fold).
Here's a link to a whole lot of different folds for you to experiment with. http://www.thenappylady.co.uk/public/ar ... spx?id=140