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The spirit of Edward Mordrake continues rolling throughout the camp and visits the freaks looking for his next victim on American Horror Story Season 4 Episode 4. When he visits Elsa, she mistakes his presence there as being about her talent. Instead, Edward insults her and forces her to tell him the story of her time in Germany.

When she couldn't find work on the stage, she turned to BDSM in a German brothel and became known for the shows she put on for those she called The Watchers. She reveals that she lost her legs during the making of a snuff film and was saved by a soldier who had fallen in love with her. Edward and his evil face deem her the one.

While on their way back to the camp, Jimmy and Maggie are stranded when his motorcycle breaks down. She believes it's a ploy to get her into the woods, but he fears the police and wants to get them off the road.

One of Twisty's captives escapes again and Jimmy and Maggie see her and Twisty struggle. Jimmy goes to help taking Maggie along with him. Dandy Mott sees them watching and takes them captive. Just as Twisty is about to murder Jimmy, Edward shows up, having decided at the last minute not to kill Elsa.

Twisty the Clown, as it turns out, used to be a very good clown whom children loved. When two of his co-workers got jealous of his rapport with the children, they ran him out of the carnival and ruined his reputation. Eventually he tried to kill himself but failed and then became the deranged killer he is today. Edward's evil face decides Twisty is the one who will join them. 

Dandy Mott returns to Twisty's camp to find his amazing clown friend fallen. He picks up Twisty's mask and puts it on. 

The townspeople come to the freak show to thank Jimmy for saving their children and their town.

American Horror Story
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American Horror Story Season 4 Episode 4 Quotes

Edward: It is not your talent that renders me speechles. It is your delusional ignorance.
Elsa: Excuse me?
Edward: You are a tattered waste of oxygen who bolsters herself with contempt for others.

[to Maggie] I'm not the one you have to worry about, Toots. It's the townies, the cops. Do you have any idea how much they hate us? At best we're tolerated because they're grateful we make them feel normal.