Both teams head into the clash at Rugby Park bolstered by impressive wins over the Old Firm.
Killie ended a 57-year wait for victory at Celtic Park last weekend, while Inverness eliminated Rangers in the quarter-finals of the Scottish Communities League Cup on Wednesday night.
Shiels said: "Inverness are strong favourites because of their current form.
"They've scored the most goals in the league, they are the top dogs.
"We have to look to restrict them and if we can put on a good defensive performance, I'm sure we will do well."