Squash is vying with wrestling and softball/baseball for the right to be a part of the Games for the very first time.
A decision by the International Olympic Committee is expected in September, with Waters, of Oakwood, part of a campaign to ensure squash replaces wrestling in the Games after that sport was dropped in February - although it was later invited to re-apply.
At the 2010 Commonwealth Games in Delhi, England picked up six squash medals and expectations are high of a repeat at Glasgow 2014.
And Waters, the 2013 national champion, is confident Great Britain can produce a team that would prove a hit in 2020.
"We are trying to get into the Olympics in 2020 and we have a big campaign towards that," said the world no.5 who was speaking at this year's London Youth Games, an event she took part in as a schoolgirl.
"At the minute, the Commonwealth Games is our biggest thing but hopefully eventually it will be Olympics.
"That would be amazing and the pinnacle of our career. Fingers crossed for September we get in - I think we deserve it.
"At the Commonwealths we will be looking for medals, and we have got three players in the top ten men and women, so we are one of the strongest nations.
"We will hopefully come back with a lot of medals and if we take our place in the Olympics I am confident we could do the same there too."
The London Youth Games is delivering a sporting legacy from the 2012 Olympics and Paralympics by inspiring more young Londoners to play and volunteer in sport. London’s councils along with Balfour Beatty and Sport England support Europe’s largest annual youth sports event which has over 100,000 athletes competing across 85 competitions over nine months.